HomeMy WebLinkAbout2018 Economic Dvlpmnt Strategic Plan STAFF REPORT
CITY OF PALM DESERT
Economic Development Department
MEETING DATE: February 22, 2018
PREPARED BY: Martin Alvarez, Director of Economic Development
REQUEST: Approval of the 2018 Economic Development Strategic Plan
Recommendation
By Minute Motion, approve the 2018 Economic Development Strategic Plan.
Strategic Plan Objective
The approval of the 2018 Economic Development Strategic Plan (EDSP) aligns with the
City's Envision Palm Desert Strategic Plan, Priority 1: Expand job and business creation
opportunities and Priority 4: Expand and raise awareness of business-friendly services
in order to retain and attract business.
Executive Summary
The EDSP was developed to provide a detailed framework to guide the City of Palm
Desert's economic development policies and programs over the next five to ten years. The
EDSP is based on a comprehensive research and stakeholder outreach process, and
reflects consensus views on the most promising opportunities and the most pressing
challenges facing Palm Desert's economy. The plan includes an overarching goal to grow
and diversify the City's economy by focusing on new job creation in target industry clusters
that will lead to higher earning jobs. The EDSP also provides tactical priorities and
initiatives in the following categories.
• Economic Development Marketing
• Business Retention / Expansion Program
• Revitalization of Key Commercial Districts
• Entrepreneurial Development / Business Incubation Program
Approval of the EDSP will allow staff to focus on the implementation of goals and objectives
of the plan in order to foster the growth and diversification of the Palm Desert Economy.
February 22, 2018
2018 Economic Development Strategic Plan
Page 2 of 5
Background Analysis
After a competitive selection process, the City Council authorized the execution of a
contract the Natelson Dale Group, Inc., (NDG) an economic and financial consulting firm to
conduct market research and to develop an EDSP for the City of Palm Desert.
The strategic planning process included conducting market and demographic research
pertinent to the Coachella Valley and the City of Palm Desert. The process included the
following components:
• An analysis of the City's existing and projected demographic profile and
understanding the underlying trends that may affect the City's economic growth
• A series of stakeholder workshops involving approximately 30 participants
representing key local businesses/industries, civic organization and educational
partners
• NDG interviewed City staff and the City Council
• A review of existing public-private partnerships involved in various aspects of
economic development
• An industry "cluster" analysis to identify most important "engines" that are likely to
offer most attractive growth potentials; and
• A real estate market analysis to identify potential future demand for commercial and
industrial development in the City
After completing the above process and analysis, NDG prepared a draft EDSP with an
overarching goal to foster the growth of the Palm Desert economy.
Discussion
The EDSP's overarching goal is to foster quality growth of the Palm Desert economy. The
plan identified the following key objectives that will assist in achieving the EDSP's
overarching goal:
• Maintaining the City's fiscal strength, in order to continue providing exceptional
municipal services
• Encouraging optimal land use patterns to ensure the long-term viability of Palm
Desert's commercial centers and districts, and institutional assets
• Creating new employment opportunities for Palm Desert residents, with a focus on
higher-wage industries and occupations
• Securing Palm Desert's position as a full-time/full-service community and as the
Coachella Valley's center for shopping/dining/entertainment, higher education, and
innovation-oriented entrepreneurial development.
In addition to the key objectives listed above, the EDSP recommends the strategic focus on
nine major industry clusters. Attraction of these clusters aims to expand job opportunities in
these higher earning careers. These industries are outlined in the table below from highest
to lowest earning salaries. The table also identifies why it is important to the City and the
recommended strategic focus.
G:\Econ Development\Martin Alvarez\2018\SR\EDSP Staff Report 02-22-18.doc
February 22, 2018
2018 Economic Development Strategic Plan
Page 3 of 5
Why it's important Recommended
Industry Cluster to the City Strategic Focus
Information Technology • Very high wage Entrepreneurial
• Significant spinoff and development
placemaking potentials
Health Services • Large existing cluster Expansion of existing firms;
• High wage Attraction of new firms
• High growth
Education and Knowledge • Presence of UCR, Support expansion of higher
Creation CSUSB and COD gives education and leverage for
Palm Desert significant business incubation
advantages in the region
Financial Services • High wage Expansion of existing firms;
• High growth Attraction of new firms
Marketing, Design and • High wage Attraction of new firms;
Publishing • Emerging cluster in Entrepreneurial
City/CV development
• Complements focus on
innovation
Real Estate, Construction, • High wage (and good Workforce development (for
Development mix of job types) construction trades)
• Grows in proportion to
overall economic growth
Entertainment • Strong and growing Focused business attraction
cluster in City and CV to help strengthen and
• Important links to other reposition retail centers
key clusters (retail and
tourism)
Retail/Restaurant • Largest existing cluster Business
• Sales tax revenue retention/expansion;
• Community amenity / Focused business attraction
quality of life (QOL) to strengthen existing retail
• Important part of centers
visual/built environment
Hospitality and Tourism • 2nd largest existing Marketing to enhance/retain
cluster existing hotels;
• Sales tax and TOT Attraction of new hotels
• Amenity/QOL value
• Important part of
visual/built environment
The final section of the EDSP is an action plan that provides tactical priority initiatives that
include a mix of new and existing economic development programs for the City. The
priorities are listed below and provide an estimated cost in order to be implemented
G:\Econ Development\Martin Alvarez\2018\SR\EDSP Staff Report 02-22-18.doc
February 22, 2018
2018 Economic Development Strategic Plan
Page 4 of 5
effectively. As programs for these priorities are developed further, staff will return to the
City Council with recommendations on funding sources and opportunities to leverage
existing partnerships.
High-Priority Initiative Potential Budget
Need
Economic Development Marketing. Within the framework of the $25,000 one-time
City's existing Marketing and Tourism Division, broaden marketing investment in new
efforts to include a more explicit focus on targeted economic marketing plan /
development. Recommended areas for new/expanded marketing collateral materials
resources include:
• Promoting Palm Desert is a place to live (full-time/full- $10,000 - $25,000
service community) per year in
• New collateral materials and advertising to support focused additional marketing
business attraction (promoting Palm Desert's excellent investment (over
business climate for targeted industries; not necessarily and above City's
focused on marketing to specific companies) existing marketing
• New collateral materials (minimal cost) for promotion of key budget)
development sites
Business Retention/Expansion Program. Establish a proactive $90,000 - $120,000
business outreach program focused on retention/expansion of annually (if
existing Palm Desert companies. To be fully implemented, this implemented
work (involving substantial direct interface with the business through a new, full-
community) may require a new staff position (or a significant time staff person);
portion of an existing staff member's time); staff will investigate no cost if managed
most effective approach to implementation. by existing staff
Revitalization of Key Commercial Districts. In tandem with El Paseo budget to
business retention/expansion/attraction efforts, focus infrastructure be determined
investments and other policies on ensuring the long-term strength based on
of key commercial districts. The recommended highest-priority recommendations
areas are: of pending Urban
• El Paseo Revitalization Plan
• Highway 111 / San Pablo
The Westfield mall is recognized as another potential priority for Recommended
revitalization. However, until the mall's ownership determines a budget of up to
strategic direction for the property, the City is not in a position to $10,000 per year to
propose specific actions. coordinate
revitalization of
Highway 111/San
Pablo (this budget
would mostly be
directed toward
information
dissemination,
printing of new
collateral/materials
G:\Econ Development\Martin Alvarez\2018\SR\EDSP Staff Report 02-22-18 doc
February 22, 2018
2018 Economic Development Strategic Plan
Page 5 of 5
High-Priority Initiative Potential Budget
Need
Entrepreneurial Development/Business Incubation Program. $100,000 estimated
This initiative would focus on positioning Palm Desert as a prime one-time cost for
location of technology-oriented startups, which has job creation tenant
value in its own right and also has the potential to enhance improvements, fiber
subsequent business attraction efforts (i.e., to the extent Palm optics
Desert becomes known as an emerging tech center, a larger
range of existing [external] firms will consider it an attractive In-kind provision of
business location). The City's entrepreneurial development surplus City-owned
program should include the following components: office space if
• Collaboration with CVEP's current strategic possible
focus/investment in technology-oriented entrepreneurial
development Potential ongoing
• Facilitating development of business incubator/accelerator investment of
space (potentially in surplus office space within City's $350,000 to support
municipal center) marketing and
• Coordination with regional entities (in tandem with specific administration
local initiatives) to expand broadband capacity in Palm based on costs
Desert associated with
existing incubator in
Palm Springs
On February 8, 2018, staff and NDG presented the draft EDSP to the City Council in a
study session. NDG was able to address questions raised by the City Council and member
of the public in attendance. There are no substantive changes recommended to the EDSP
since the completion of the study session. Therefore, staff recommends that Council
approve the 2018 EDSP and direct staff to begin implementation of recommended initiatives
and programs outlined in the plan.
Fiscal Analysis
The initiatives and programs recommended within the EDSP will have a fiscal impact to the
City' General Fund. During the next two months, staff will be evaluating the projected fiscal
impacts of implementing the plan and developing funding recommendations. The funding
recommendations will be brought back to City Council through the Fiscal Year 2018/19
budget process.
LEGAL REVIEW DEPT. REVIEW FINANCIAL REVIEW CITY MANAGER
A roved as to Form
A7A-
Lci2132.14,
Robert W. Hargreaves Martin Alvarez t Moore Lauri Aylaian
City Attorney Economic Development 'rector of Finance City Manager
Director
ATTACHMENT: 2018 EDSP
G\Econ Development\Martin Alvarez\2018\SR\EDSP Staff Report 02-22-18 doc
MIME
PALM DESERT ECONOMIC DEVELOPMENT
STRATEGIC PLAN
•
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Prepared for:
City of Palm Desert, California
February 22, 2018
PREPARED BY:
NT H E NATELSON DALE G R O U P , I N C .
24835 LA PALMA AVE SUITE I • YORBA LINDA , CA 92887
0: 714.692,9596 • F: 714.692.9597 • www.natelsondale.com
Table of Contents
1. Introduction 1
2. Executive Summary 5
3. Highlights of Background/Technical Studies 9
4. Action Plan Highlights 22
5. Detailed Action Plan 27
Cover Photo Credit:Tom Brewster
Palm Desert Economic Development Strategic Plan
The Natelson Dale Group, Inc.
1 . Introduction
This document provides a strategic framework to guide the City of Palm Desert's economic development
policies and programs over the next 5 to 10 years.The Economic Development Strategic Plan (EDSP) is
based on a comprehensive research and stakeholder outreach process, and reflects consensus views on
the most promising opportunities and the most pressing challenges facing Palm Desert's economy.
While the EDSP places primary emphasis on actions and initiatives to be pursued by the City, it
recognizes that a wide array of public-and private-sector entities have roles in influencing the economic
vitality of Palm Desert.In this regard, some of the recommended actions will be carried out through
partnerships with other entities. Even for those action items in which the City's role is essentially
coordination,this function can take many forms and is often critical to solving problems that may not
otherwise have a clear constituency or single responsible entity assigned to resolving them.
Overview of the Strategic Planning Process
The recommended policies and program activities are based on an extensive planning process that
included the following components:
• An analysis of Palm Desert's existing and projected demographic profile, providing an
understanding of underlying trends that may affect economic growth potentials.
• A series of stakeholder workshops(the"Palm Desert Economic Development Summit")involving
approximately 30 participants representing key local businesses/industries and civic
organizations.
• A review of the various public-and private-sector entities involved in different aspects of
economic development(or related activities), along with a summary of their existing program
offerings.
• An industry"cluster" analysis to identify the industry groups that are the most important
"engines" of the existing local economy, as well as the industry groups that are likely to offer the
most attractive growth potentials in the future.
• A real estate market analysis to identify potential future demand for commercial and industrial
development in the City.
Where relevant, key findings of the background and technical studies are referenced in the EDSP.The
full studies are provided as separate reports.
Summary of Key"SWOT"Issues
The technical studies and stakeholder input provided the basis for identification of important SWOT
(strength-weakness-opportunity-threat) issues affecting Palm Desert's economic development
potentials.These issues are briefly summarized as follows:
Palm Desert Economic Development Strategic Plan
The Natelson Dale Group, Inc
1
Key Assets and Selling Points(*items that are especially or uniquely strong in Palm Desert as
compared to the larger Coachella Valley are identified with an asterisk)
Quality of Life
• Excellent climate
• Diversity of recreational activities/facilities*
• Diversity of special events/festivals
• Housing affordability; wide range of housing options*
• World class shopping/dining*
• Concentration of higher education*
• Quality health care
Attractive Factors for Business/Development:
• Central location within Coachella Valley*
• Land capacity
• Available development sites owned/influenced by City*
• Updated General and Specific Plans facilitate development approvals*
• Overall reputation for business/development friendliness*
• Visibility to corporate decision makers(e.g.,visitors and seasonal residents who are high-level
business executives)
• Market access to larger region(Southern California, Phoenix, Las Vegas)
• Airports(local and regional, including Ontario)
• Rail infrastructure/capacity
Key Partnerships and Institutional Assets:
• Palm Desert Area Chamber of Commerce(PDACC)*
• El Paseo Business Improvement District*
• Coachella Valley Economic Partnership(CVEP)
• Greater Palm Springs Convention and Visitors Bureau(CVB)
• University of California, Riverside (Palm Desert Campus)*
• California State University,San Bernardino (Palm Desert Campus)*
• College of the Desert(COD)*
• Riverside County Workforce Development Center(based in Indio)
Major Needs/Potential Constraints
• Local (Palm Springs)airport is underutilized/air service is relatively limited
• Workforce retention (need to address"brain drain"or loss of local talent)
• Need to attract larger numbers of students to area colleges/universities
• Seasonality of the economy
• Global changes in retail industry are a threat to one of City's core strengths
• Other cities in Coachella Valley are not as committed to regional partnerships
• Image issues(false perceptions that need to be systematically addressed)
Palm Desert Economic Development Strategic Plan
The Natelson Dale Group, Inc.
2
o Palm Desert is only for retirees and tourists
o Water supply is restrictive to development
o Heat makes it infeasible to live here year-round
• Housing affordability can be a challenge for first-time buyers
• Need to expand entertainment options attractive to young adults
• Need to improve attractiveness as a place for young professionals to live
• Need to improve transportation systems(ground,air)
• Utility costs associated with business development
Economic Development Context
Figure 1 on the next page is a representation of aspects of the context in which economic development
will continue to occur in Palm Desert and the Coachella Valley.The intent of the figure is to explicitly
recognize what is common knowledge in the Coachella Valley but may not always be reflected in
strategic positioning. In essence,the traditional, historic role of the region and its relationship to greater
Southern California to the west is evolving.The region is becoming an increasingly economically(and
demographically) diversified,self-contained urban core in its own right.
Simultaneously,the distance between urbanized portions of the Coachella Valley and the rest of
Southern California continues to shrink.All markets surrounding the Coachella Valley are expanding,
including Arizona markets to the east, and infrastructure that once primarily served visitors and the
hospitality industry is transitioning to serve a broader range of purposes.
The figure identifies basic interrelationships among three components of the historic/regional context:
1) The legacy of the past,
2) Business-type attributes of market access and size, etc., and
3) The maturing of the region into a more self-contained metropolitan area.
Each of these three components can be addressed through a tailored strategic focus.The various
strategic directions can all be reflected through marketing messages that integrate the conditions
through which the region is naturally changing, and being guided to change,while still recognizing the
rich legacy of the past.
Palm Desert Economic Development Strategic Plan
The Natelson Dale Group, Inc.
3
FIGURE 1
— —
/ Maturing CV urban region
Expanding Southern
*1111 California region
Historic Coachella Valley
Historic and regional context
Legacy of past Other, business-type attributes Maturing City/Region
• Amenity-rich area • Have market access to larger region • Educational and other institutions
• Destination status • Central location within Coachella • Existing economic base supports expansion
Valley • Expanding populations
• Development capacity, some • Expanding complement of business support
through city properties for residents and other businesses
• Proactive business climate • Foundational elements broaden to serve
additional purposes, e.g. airport
• Retirement communities experience
resident-age cycles
Strategic Directions
Expand role and build on Use planning/urban design,to
• Use planning/urban design,to facilitate
existing maximize available capacity
meaningful expansions
• Reinvigorate aging elements, and
neighborhoods
• Support expanded use of foundational
infrastructure
Integrated marketing messageste7
Palm Desert embodies City is managing transition to
all aspects of Coachella community with expanded
Valley's historic and options for youth, revitalized
regional context properties and neighborhoods,
and evolving retirement
communities
(Messages are for outsiders and also to help residents have
a better grasp of what City is doing and why)
• Palm Desert Economic Development Strategic Plan
The Natelson Dale Group, Inc.
4
2. Executive Summary
Overarching Goal: Growing the Palm Desert Economy
The overarching goal of the EDSP is to foster growth of the Palm Desert economy in ways that achieve
the following objectives:
• Maintaining the City's fiscal strength, in order to continue providing exceptional municipal
services;
• Encouraging optimal land use patterns to ensure the long-term viability of Palm Desert's
commercial centers and districts, and institutional assets;
• Creating new employment opportunities for Palm Desert residents, with a focus on higher-wage
industries and occupations;
• Securing Palm Desert's position as a full-time/full-service community and as the Coachella
Valley's center for shopping/dining/entertainment, higher education,and innovation-oriented
entrepreneurial development.
Target Industries: Balancing Established Strengths and Emerging Opportunities
The EDSP recommends strategic focus on nine major industry clusters.There are currently a total of
approximately 36,000 jobs based in Palm Desert.The nine target clusters collectively account for nearly
26,000 jobs,or just over 70%of the total. Key information about the nine clusters is summarized as
follows(clusters are listed in order of their average annual wage, highest to lowest):
Number of
Existing Jobs Average
Industry Cluster in Palm Desert Annual Wage
Information Technology 16 $102,123
Health Services 2,492 $67,446
Education and Knowledge Creation 1,434 $65,849
Financial Services 279 $63,867
Marketing, Design and Publishing 290 $59,080
Real Estate,Construction, Development 4,262 $57,797
Entertainment 720 $33,208
Retail/Restaurant 9,980 $26,889
Hospitality and Tourism 6,264 $26,132
Subtotal/Weighted Average for Target Clusters 25,737 $38,907
Total/Weighted Average for All Jobs in City 36,425 $47,810
Each of the nine target clusters is important, but for different reasons.And,the different reasons that
they are of interest to the City will, in turn, lead to unique strategic approaches for each cluster.Overall,
it is notable that the two largest clusters in terms of existing jobs(retail/restaurant and hospitality/
tourism) are, by far,the lowest-paying.A key strategic challenge for the City will be to pursue
Palm Desert Economic Development Strategic Plan
The Natelson Dale Group, Inc.
5
opportunities to expand employment in higher-paying industries,thereby raising the overall average
wage for jobs based in Palm Desert.At the same time,the clusters associated with lower wage levels are
critical to the City from the standpoint of fiscal revenue(i.e., sales and transient occupancy taxes) and
from the perspective of providing amenities important to Palm Desert's residents, businesses and
visitors.The need for the EDSP to balance these differing strategic objectives is characterized as follows:
Why it's important Recommended
Industry Cluster to the City Strategic Focus
Information Technology • Very high wage Entrepreneurial development
• Significant spinoff and
placemaking potentials
Health Services • Large existing cluster Expansion of existing firms;
• High wage Attraction of new firms
• High growth
• Significant contributor to
residential quality of life
Education and Knowledge • Presence of UCR, CSUSB Support expansion of higher
Creation and COD gives Palm Desert education and leverage for
significant advantages in business incubation
the region
Financial Services • High wage Expansion of existing firms;
• High growth Attraction of new firms
Marketing, Design and • High wage Attraction of new firms;
Publishing • Emerging cluster in City/CV Entrepreneurial development
• Complements focus on
innovation
Real Estate,Construction, • High wage (and good mix of Workforce development (for
Development job types) construction trades)
• Grows in proportion to
overall economic growth
Entertainment • Strong and growing cluster Focused business attraction to
in City and CV help strengthen and reposition
• Important links to other key retail centers
clusters(retail and tourism)
Retail/Restaurant • Largest existing cluster Business retention/expansion;
• Sales tax revenue Focused business attraction to
• Community amenity/ strengthen existing retail
quality of life(QOL) centers
• Important part of
visual/built environment
Hospitality and Tourism • 2"d largest existing cluster Marketing to enhance/retain
• Sales tax and TOT existing hotels;
• Amenity/QOL value Attraction of new hotels
• Important part of
visual/built environment
Palm Desert Economic Development Strategic Plan
The Natefson Dare Group, Inc.
6
"Tactical" Priorities: Recommended New Initiatives to Achieve the EDSP Objectives
The EDSP Action Plan provided in Chapters 4 and 5 includes a mix of existing and new economic
development programs for the City. It is important to acknowledge that the City has been successful in
many aspects of community and economic development for a long time.The City's long-term attention
to high-quality economic and community development has resulted in the balanced, high-amenity,
fiscally strong community that Palm Desert is today.
Many of the strategies/programs included in the Action Plan represent continuations of"business as
usual"' for the City.That is,the EDSP is structured around the City's existing programs and investments
related to economic development.Some of the recommended strategies, however,will require
additional budget resources in order to be effectively implemented.These new, highest-priority
initiatives are highlighted below and further detailed in Chapters 4 and 5.
High-Priority Initiative Potential Budget Need
Economic Development Marketing. Within the framework of the City's $25,000 one-time
existing Marketing and Tourism Division, broaden marketing efforts to investment in new
include a more explicit focus on targeted economic development. marketing plan/
Recommended areas for new/expanded marketing resources include: collateral materials
• Promoting Palm Desert is a place to live(full-time/full-service
community) $10,000-$25,000 per
• New collateral materials and advertising to support focused year in additional
business attraction (promoting Palm Desert's excellent business marketing investment
climate for targeted industries;not necessarily focused on (over and above City's
marketing to specific companies) existing marketing
• New collateral materials(minimal cost)for promotion of key budget)
development sites
Business Retention/Expansion Program. Establish a proactive business $90,000-$120,000
outreach program focused on retention/expansion of existing Palm Desert annually(if implanted
companies.To be fully implemented,this work(involving substantial direct through a new,full-
interface with the business community) may require a new staff position (or time staff person); no
a significant portion of an existing staff member's time);staff will cost if managed by
investigate most effective approach to implementation. existing staff
Revitalization of Key Commercial Districts. In tandem with business El Paseo budget to be
retention/expansion/attraction efforts,focus infrastructure investments determined based on
and other policies on ensuring the long-term strength of key commercial recommendations of
districts.The recommended highest-priority areas are: pending Urban
• El Paseo Revitalization Plan
• Highway 111/San Pablo
The Westfield mall is recognized as another potential priority for Recommended budget
revitalization. However, until the mall's ownership determines a strategic of up to$10,000 per
direction for the property,the City is not in a position to propose specific year to coordinate
actions. revitalization of
Highway 111/San Pablo
(this budget would
mostly be directed
toward information
Palm Desert Economic Development Strategic Plan
The Natelson Dale Group, Inc.
7
High-Priority Initiative Potential Budget Need
dissemination, printing
of new collateral
materials,etc.)
Entrepreneurial Development/Business Incubation Program. This $100,000 estimated
initiative would focus on positioning Palm Desert as a prime location of one-time cost for
technology-oriented startups,which has job creation value in its own right tenant improvements,
and also has the potential to enhance subsequent business attraction fiber optics
efforts(i.e.,to the extent Palm Desert becomes known as an emerging tech
center,a larger range of existing[external]firms will consider it an In-kind provision of
attractive business location).The City's entrepreneurial development surplus City-owned
program should include the following components: office space if possible
• Collaboration with CVEP's current strategic focus/investment in
technology-oriented entrepreneurial development Potential ongoing
• Facilitating development of business incubator/accelerator space investment of
(potentially in surplus office space within City's municipal center) $350,000 to support
• Coordination with regional entities(in tandem with specific local marketing and
initiatives)to expand broadband capacity in Palm Desert administration based
on costs associated
with existing incubator
in Palm Springs
Palm Desert Economic Development Strategic Plan
The Natelson Dale Group,Inc.
8
3. Highlights of Background/Technical Studies
Demographic Profile
The highlights of the demographic report selected for this summary include the following elements:
• A summary table that includes a variety of data for Palm Desert and also for other Coachella
Valley cities,along with Riverside County and California.
• Projected growth of population and jobs by city.
• Labor force participation rate by age, by city and by the county and state.
• Taxable sales, by city and the county,for 2005 (pre-recession)and 2015.
• Discussions of seasonal homeowners and senior residents as special populations/industry
segments in Palm Desert.
Table 1 summarizes a range of demographic and economic variables. Note that Palm Desert generally
lies within the middle of the range for most of the variables compared with the other communities,
county,and the state.There are a few noteworthy exceptions.Palm Desert's percent change in
population growth was lower than all the other communities except Cathedral City and Palm Springs.
Palm Desert's percent change in jobs was negative and lower than all other communities except Palm
Springs.The ratio of jobs to people in Palm Desert is at the top end of the range,which indicates that
Palm Desert retains an advantage even given the high proportion of retirement-age persons in the
community.
TABLE 1.DEMOGRAPHIC SUMMARY
Population Jobs Median Per Labor Force
Place Population Growth Jobs(2017) Growth Jobs/ HH Capita Participation
(2017) (2007-2017) (2007- Population Income Income Rate
2017)
California 39,523,613 8.6% 18,176,000 7.3% 0.46 $61,818 $30,318 48.5%
Riverside County 2,384,783 16.3% 999,200 17.9% 0.42 $56,603 $23,783 44.4%
Palm Desert 50,740 8.3% 22,800 -6.9% 0.45 $52,892 $39,219 46.9%
Cathedral City 54,557 7.7% 24,400 0.0% 0.45 $39,872 $19,649 46.9%
Coachella 45,551 23.6% 17,200 65.4% 0.38 $37,497 $12,260 41.5%
Desert Hot Springs 29,111 20.7% 10,600 27.7% 0.36 $33,027 $13,828 39.2%
Indian Wells 5,450 14.0% 1,700 0.0% 0.31 $93,625 $90,749 33.0%
Indio 88,718 25.0% 36,700 46.2% 0.41 $50,525 $21,581 44.1%
La Quinta 40,677 13.6% 17,600 20.5% 0.43 $71,091 $40,664 44.7%
Palm Springs 47,379 7.3% 21,300 -15.1% 0.45 $44,075 $35,799 47.1%
Rancho Mirage 18,295 9.0% 6,600 8.2% 0.36 $66,086 $61,391 37.7%
Sources:California Department of Finance,City/County/State Population and Housing Estimates;California Department of
Employment Development, Labor Farce and Unemployment Rates for Cities/Counties/State; Census American Community Survey,
2015 5-Year Estimates;The Natelson Dale Group, Inc.(TNDG).
Palm Desert Economic Development Strategic Plan
The Natelson Dale Group, Inc.
9
Figure 2 shows the projected population and number of jobs in each of the Coachella Valley cities for the
period of 2012 to 2035.The chart reveals the wide variation in projected growth among the nine
communities, perhaps the most notable being the high rates of population growth for both Indio and
Coachella.The nine cities are all projected to experience job growth through 2035, at higher rates of
growth than the population growth rates. Palm Desert has the most jobs of all the cities in 2012, and is
also expected to have the most in 2035;although both population and employment will be distributed
more generally across the Coachella Valley in the future, which would be what we would expect for a
maturing region.
Rapid growth in Coachella and Indio will change some aspects of the"attraction power"of Palm Desert
within the region. For example,for Palm Desert to remain a center of regional shopping, existing
regional centers and stores must be kept up-to-date.
FIGURE 2.PROJECTED POPULATION AND EMPLOYMENT IN COACHELLA VALLEY CITIES,2012-2035
140,000
120,000
▪ 100,000
U
80,000
0
c 60,000
oc 40,000
20,000
11[1 t awniIo i[n iti i 1 ��
Cathedral Coachella Desert Indian Indio La Quinta Palm Palm Rancho
City Hot Wells Desert Springs Mirage
Springs
•Population 2012 •Population 2035 ®Employment 2012 0 Employment 2035
Sources: Southern California Association of Governments,Adopted 2016 RTP Growth Forecast;TNDG.
As Table 2 indicates, many of the Coachella Valley cities have labor force participation rates(for all ages
combined) below the rates for California and Riverside County. However,when looking at participation
by age,the differences are less pronounced,and in Palm Desert participation rates are higher or within
the range of the rates for California and Riverside County.Statistically,what this means is that even
though Palm Desert residents participate in the labor force similarly to the state and Riverside County,
the preponderance of older workers pulls the overall participation rate down.The same situation would
appear to apply similarly for the other Coachella Valley cities with low overall participation rates.
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TABLE 2.LABOR FORCE PARTICIPATION RATE BY RESIDENT AGE
Labor Force Participation Rate
Place All working-age 18-24 25-64 65 Years and
segments Years Years Older
California 63.6% 53.3% 77.0% 17.3%
Riverside County 60.4% 52.8% 74.3% 14.2%
Palm Desert 52.7% 59.6% 77.8% 16.4%
Cathedral City 61.0% 50.8% 75.6% 18.1%
Coachella 71.6% 60.6% 80.5% 12.6%
Desert Hot Springs 56.5% 45.1% 67.9% 15.0%
Indian Wells 36.7% 62.7% 68.9% 17.6%
Indio 62.6% 56.9% 78.7% 13.8%
La Quinta 54.5% 52.3% 74.1% 16.2%
Palm Springs 52.7% 61.3% 70.3% 16.1%
Rancho Mirage 37.3% 48.3% 64.0% 14.7%
Sources:Census American Community Survey,2015 5-Year Estimates;TNDG.
Table 3,showing taxable sales in 2015 and the percent change from 2005, indicates that all places in
Coachella Valley and Riverside County overall experienced decreased taxable transactions in 2015
compared to 2005. Palm Desert's rate of decrease was not as severe as some of the other cities, and
taxable sales per capita in 2015 far exceeded per capita sales in the other cities.
TABLE 3.TAXABLE SALES TRENDS ADJUSTED FOR INFLATION
%Change in Total Taxable Sales per Taxable Sales per
Place Taxable Transactions
(2005 2015) Capita,2005 Capita,2015
Riverside County -8.8% $13,472 $10,159
Palm Desert -18.4% $34,043 $26,595
Cathedral City -30.3% $20,210 $13,061
Coachella -4.5% $8,272 $5,247
Desert Hot Springs 7.9% $5,344 $4,082
Indian Wells -3.3% $7,309 $6,238
Indio -6.5% $13,350 $8,991
La Quinta -15.6% $22,701 $15,790
Palm Springs 1.8% $18,197 $17,553
Rancho Mirage -37.5% $31,952 $18,192
1.Numbers for 2005 have been adjusted to account for effects of inflation,nationally.
Sources:California State Board of Equalization,Taxable Sales by City,Years 2005-2015;TNDG.
Two special-population"industries" in Palm Desert should be noted: high levels of seasonal home
residents and unusually high levels of senior households. For purposes of this discussion, "special
populations"are those in excess of what would be expected based on state average proportions. In
other words, even though all places have some senior-age households and some homes used primarily
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for recreational or seasonal housing, unusually high levels of these populations each constitute a unique
economic segment that should be recognized.
Based on analysis of these two groups in Palm Desert,the Seasonal Home Population consists of an
"extra"5,100 units. (Note that Seasonal residents are not part of the official Census count for a
community).This produces local spending estimated at$130 million annually.The Senior Household
Population consists of an "extra"2,300 households, resulting in local spending(much in the form of
"imported"dollars, or those not earned in the local economy)estimated at$62.9 million.
Commercial/Industrial Real Estate Market Analysis
As part of the EDP process,The Natelson Dale Group,Inc. (TNDG)completed a real estate market
demand forecast for Palm Desert.The following tables provide an abbreviated summary of TNDG's real
estate demand forecasts through 2027.
The preliminary projections are largely based on the official demographic forecasts adopted in 2016 by
the Southern California Association of Governments(SLAG).The SCAG projections indicate the following
levels of growth between now and 2027:
City of Palm Desert
• 4,500 new residents(average of 450 per year)
• 7,500 new jobs(750 per year)
The demand estimates were further calibrated based on additional information from local Costar real
estate market reports,along with input from key committee stakeholders with expertise on local real
estate market conditions.
Table 4 summarizes the overall demand projections for the three major land use categories under
consideration: retail (including restaurants),office, and industrial. These projections are specific to the
City of Palm Desert.The projections recognize existing vacancies and recent trends in absorption.
TABLE 4.SUMMARY OF REAL ESTATE DEMAND PROJECTIONS,CITY OF PALM DESERT,THROUGH 2027
Projected Demand for New
Land Use Category Projection Period Space(square feet)
Retail 2017-2027 200,000—250,000
Office 2017-2027 130,000—230,000
Industrial 2017-2027 375,000—500,000
Source: The Natelson Dale Group,Inc.(TNOG).
Tables 5 and 6 show the projections of total demand for new retail space in Palm Desert for the 10-year
period,2017-2027.
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TABLE 5.PROJECTED DEMAND FOR NEW RETAIL/RESTAURANT SPACE,PALM DESERT,2017-2027
Projected Projected
Palm Desert 2017-2027 2017-2027
Conservative Aggressive
Average Annual Population Growth 450 450
Retail Space Absorption (square feet)
Average Annual 40,000 50,000
10-year Total 400,000 500,000
Retail Space Absorption(square feet)—Market Constrained'
Average Annual 20,000 25,000
10-year Total 200,000 250,000
Sources: Emsi;Southern California Association of Governments;CoStar;TNDG.
1. Unconstrained market projections adjusted based on a 50%reduction factor,accounting for recent 5-year net
absorption trends.
Table 6 shows the breakdown of Palm Desert's projected retail demand by major retail sales category.
TABLE 6.PROJECTED DEMAND FOR NEW RETAIL/RESTAURANT SPACE
BY MAJOR RETAIL SALES CATEGORY,PALM DESERT,2017-2027
Category Conservative Projection Aggressive Projection
(Square Feet) (Square Feet)
GAFD' 100,000 125,000
Food and Beverage 20,000 25,000
Food Services and Drinking 20,000 25,000
Hardware and Building Materials 10,000 12,500
Auto Parts 30,000 37,500
Service Businesses in Retail Space 20,000 25,000
Total 200,000 250,000
1.GAFO=General Merchandise,Apparel,Furniture/Appliances,Other Specialty
Sources: Emsi;Southern California Association of Governments;CoStar;TNDG.
Tables 7 and 8 on the following page provide TNDG's projections of demand for new office and
industrial space in Palm Desert for the 10-year period from 2017 to 2027.
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TABLE 7.PROJECTED DEMAND FOR NEW OFFICE SPACE,PALM DESERT,2017-2027
Historic Projected Projected
Palm Desert Growth 2017-2027 2017-2027
2010-2015 Conservative Aggressive
Average Annual Job Growth 900 750 1,000
Office Space Absorption(square feet)
Average Annual (4,700) 30,000 40,000
10-year Projection Total N/A 300,000 400,000
Office Space Absorption (square feet)—Market Constrained'
Average Annual (4,700) 13,000 23,000
10-year Projection Total N/A 130,000 230,000
Sources: Emsi;Southern California Association of Governments;CoStar;TNDG.
1. Unconstrained market projections adjusted based on initial absorption of existing vacant office
space.Demand for new office construction assumed once market reaches 8.0%equilibrium
vacancy rate.Although 10-year averages are provided for illustrative purposes,initial demand for
new office construction would occur sometime between years 2022(Aggressive)and 2024
(Conservative).
TABLE 8.PROJECTED DEMAND FOR NEW INDUSTRIAL SPACE,PALM DESERT,2017-2027
Historic Projected Projected
Palm Desert Growth 2017-2027 2017-2027
2010-2015 Conservative Aggressive
Average Annual Job Growth 900 750 1,000
Industrial Space Absorption (square feet)
Average Annual 24,000 37,500 50,000
10-year Projection Total N/A 375,000 500,000
Sources: Emsi;Southern California Association of Governments;CoStar;TNDG.
Industry Cluster(Target Industry)Study
As part of the EDSP process,TNDG also completed an analysis of industry growth/retraction trends in
Palm Desert, comparing the local economy's recent and longer-term performance to state and national
benchmarks.TNDG's analysis illustrates Palm Desert's economic/employment base in terms of industry
"clusters." Clusters are groups of interrelated industry sectors whose growth potentials within a region
tend to be closely aligned.The tendency of individual industries to co-locate within these clusters
reflects linkages through supply-chain relationships, as well as commonalities in terms of workforce
requirements and infrastructure needs.The cluster analysis is fully documented in a separate
companion document.
The clusters analyzed in TNDG's study are based on definitions (i.e., industry groupings) from the U.S.
Cluster Mapping Project, an economic development initiative which is led by Harvard Business School's
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Institute for Strategy and Competitiveness'. Nationally,the Cluster Mapping Project recognizes a total of
67 clusters,with 16 classified as"local"clusters and 51 classified as"traded"clusters.
• Local clusters typically form the core of a region's economy and are prevalent in all regions of
the U.S.;they primarily provide goods and services for the local(resident) population.They tend
to account for the majority of jobs in a region (in the case of Palm Desert, local clusters
represent 80%of total jobs),and support a high quality of life by ensuring the availability of a
diverse range of goods and services.These clusters include a wide array of business
opportunities of all sizes and are generally expected to grow in proportion to overall growth in
the economy.
• Traded clusters are"export-oriented"in the sense that they include industries that are engaged
in producing goods and services for end customers outside the region (in this case,outside Palm
Desert).Although traded clusters represent only 17%of the jobs in the city(note that the local
and traded jobs do not total 100%because some industries lie outside of either category2),they
are still important from an economic development perspective given that they tend to have
higher wages and higher"multiplier impacts"compared to local clusters.That is,they have a
strong potential to inject new dollars into the local economy and thereby serve as"drivers"for
broader economic growth.
Beginning on the following pages,Tables 9 and 10 list all"local"and "traded"clusters that had 200 or
more jobs in Palm Desert in 2016 and 500 or more jobs in the Coachella Valley region, respectively.The
tables provide the following information about each listed cluster:
• Total number of jobs in Palm Desert and the Coachella Valley in 2016(the latest full year for
which data are available)
• Location quotient(compared to U.S. benchmark)in 20163
• Change in the number of jobs between 2001-2016
Table 11 includes the following data for the clusters same clusters evaluated in Tables 9 and 10:
• Projected absolute change in jobs between 2016 and 2027 for the Coachella Valley
• Projected percentage change in jobs between 2016 and 2027 at the national level
• Average annual wage in the Coachella Valley(in 2016)
1 See the following website for an overview of the project: http://www.clustermapping.us/
2 Primarily local,state,and federal government jobs.
3 The location quotient(LQ)measures how concentrated/important an industry cluster is in a region compared to
national benchmarks.An LQ value greater than 1.0 indicates that a cluster is more concentrated in the region than
it is nationally.This is generally regarded as an indication that the region has a comparative advantage in a
particular cluster.
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TABLE 9.SUMMARY CHARACTERISTICS AND TRENDS,PALM DESERTS LARGEST INDUSTRY CLUSTERS
(LIST INCLUDES WITH MORE THAN 200 JOBS IN 2016)
Palm
Traded Desert Location Change in
flock Clusters Quotient in Jobs
Local Jobs in 2016 2001-16
2016
Local Hospitality Establishments Local 6,264 2.01 2,183
Local Real Estate, Construction,and Development Local 4,262 1.81 203
Local Retailing of Clothing and General Merchandise Local 3,715 3.17 712
Local Commercial Services Local 3,382 1.59 1,974
Local Community and Civic Organizations Local 3,227 2.49 2,615
Local Health Services Local 2,492 0.59 998
Hospitality and Tourism Traded 2,362 3.09 232
Education and Knowledge Creation Traded 1,434 0.89 226
Local Food and Beverage Processing and Distribution Local 1,120 1.09 390
Local Household Goods and Services Local 1,009 2.29 180
Local Personal Services(Non-Medical) Local 836 1.23 334
Business Services Traded 813 0.38 290
Local Education and Training Local 780 0.36 344
Local Entertainment and Media Local 720 1.85 90
Local Motor Vehicle Products and Services _Local 543 0.51 90
Distribution and Electronic Commerce Traded 452 0.32 122
Local Financial Services Local 445 0.64 169
Marketing, Design, and Publishing Traded 290 0.84 36
Financial Services Traded 279 0.57 (119)
Local Logistical Services Local 257 0.45 98
Local Utilities Local 225 0.79 133
Total Traded Cluster 6,251 0.55 702
Total Local Cluster 29,288. 1.35 10,512
Source: EMSI;Cluster Mapping Project;TNDG.
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TABLE 10.SUMMARY CHARACTERISTICS AND TRENDS,COACHELLA VALLEY'S LARGEST INDUSTRY CLUSTERS
(LIST INCLUDES CLUSTERS WITH MORE THAN 500JOBS IN 2016)
Traded/ CV Location Change in
Clusters Local Jobs in Quotient in Jobs
2016 2016 2001-16
Local Hospitality Establishments Local 23,214 1.84 8,333
Local Health Services Local 15,828 0.92 5,494
Local Real Estate,Construction,and Development Local 14,249 1.49 1,350
Hospitality and Tourism Traded 10,744 3.46 1,350
Local Education and Training Local 9,791 1.11 2,686
Local Community and Civic Organizations Local 8,478 1.61 6,222
Local Retailing of Clothing and General Merchandise Local 7,333 1.54 2,913
Local Commercial Services Local 6,529 0.76 2,706
Local Motor Vehicle Products and Services Local 5,427 1.25 891
Local Food and Beverage Processing and Distribution Local 5,005 1.20 1,715
Local Household Goods and Services Local 4,762 2.65 962
Agricultural Inputs and Services Traded 3,797 7.29 (1,378)
Local Personal Services(Non-Medical) Local 2,689 0.97 1,005
Business Services Traded 2,594 0.30 928
Distribution and Electronic Commerce Traded 2,073 0.36 769
Local Entertainment and Media Local 1,911 1.21 54
Local Logistical Services Local 1,626 0.70 629
Education and Knowledge Creation Traded 1,601 0.24 318
Local Financial Services Local 1,420 0.50 537
Transportation and Logistics Traded 994 0.60 289
Financial Services Traded 744 0.37 (229)
Marketing, Design, and Publishing Traded 743 0.53 144
Local Utilities Local 676 0.58 360
Total Traded Cluster 26,485 0.58 1,462
Total Local Cluster 109,198 1.24 36,006
Source: EMSI;Cluster Mapping Project;TNDG.
Notes:CV=Coachella Valley
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TABLE 11.PROJECTED GROWTH TRENDS AND WAGES FOR COACHELLA VALLEY'S LARGEST CLUSTERS 2016-27
CV U.S. CV
Clusters Traded/ Projected %Job Avg.Annual
Local Job Growth Growth
(2016-27) (2016-27) Wage
Local Hospitality Establishments Local _ 3,680 11% $26,132
Local Health Services Local 5,060 23% $64,998
Local Real Estate,Construction, and Development Local 2,402 12% $57,797
Hospitality and Tourism Traded 937 11% $34,698
Local Community and Civic Organizations Local 3,385 15% $23,645
Local Retailing of Clothing and General Merchandise Local 2,096 10% $28,164
Local Commercial Services Local 1,493 11% $36,570
Local Motor Vehicle Products and Services Local 965 11% $47,006
Local Food and Beverage Processing and Distribution Local 888 7% $40,117
Local Household Goods and Services Local 350 5% $37,685
Agricultural Inputs and Services Traded (527) 17% $34,328
Local Personal Services(Non-Medical) Local 426 13% $31,774
Business Services Traded 260 18% $57,281
Distribution and Electronic Commerce Traded 167 13% $58,676
Local Entertainment and Media Local (3) 1% $33,208
Local Logistical Services Local 364 12% $49,229
Local Financial Services Local 93 7% $63,867
Transportation and Logistics Traded 219 7% $56,378
Financial Services Traded (57) 15% $97,709
Local Education and Training Local 58 9% $37,215
Marketing, Design,and Publishing Traded (40) 13% $59,080
Local Utilities Local 159 -7% $90,551
Total Traded Cluster 918 10% $47,810
Total Local Cluster I 21,525 13% $41,334
Source: EMSI;Cluster Mapping Project;TNDG.
Notes:CV=Coachella Valley
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Recommended Target Industry Clusters
The industry cluster analysis summarized above highlights the following facts relevant to Palm Desert's
potential targeting of future growth industries:
• Consistent with the rest of the Coachella Valley, Palm Desert's existing economy is largely
dominated by a few key industry clusters(hospitality/tourism, retail, health care, real estate and
local services).
• With the notable exception of hospitality/tourism, most of Palm Desert's industries are local-
serving in nature (i.e., local-serving in the sense that they do not "import" money from outside
the region).
• The City's largest industry clusters(hospitality/tourism and retail),while important from a
"placemaking" perspective(and also from the standpoint of City revenue generation), are
generally associated with below-average wage levels.
In a region that has a limited existing base of export-oriented industries(e.g., manufacturing firms),
traditional approaches to business"attraction"are challenging since such efforts are typically premised
on attracting additional firms in clusters that have an established presence in a region. Given this factor
(and also consistent with contemporary best practices nationally),the regional economic development
organization (CVEP)appropriately places more emphasis on "economic gardening" (developing
businesses from within by promoting a strong"startup culture")than on recruitment of external firms.
Similarly,the recommended business development strategy for Palm Desert includes a mix of
retaining/growing existing firms,selected attraction of new firms,and technology-oriented
entrepreneurial development.
Based on the trends and projections summarized in the industry cluster analysis,TNDG recommends
that the EDSP consider the following clusters (listed in order of their average annual wages,from highest
to lowest)as strategic priorities/targets(Table 12):
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TABLE 12.RECOMMENDED CLUSTERS
Basis for Including as a Recommended
Cluster Priority/Target Strategic Focus Issues
Information • Consistent with Entrepreneurial There is a small but growing
Technology regional (CVEP)focus development/business concentration of tech firms/
on business incubation incubation workers in Coachella Valley;
• Leverages key Palm timing appears to be good
Desert assets for Palm Desert to increase
(especially higher its share of this emerging
education) cluster
• High wage
• Significant spinoff and Presence of CSUSB and UCR
placemaking potentials potentially gives Palm Desert
a significant advantage for
attracting startups(possibly
through
incubator/accelerator-type
facilities)
Health Services • Large existing cluster Expansion of existing Palm Desert is currently
• High growth in CV firms; somewhat"under-served"
and nationally Attraction to fill compared to CV as a whole
• High wage "gaps" in local
• Significant services available
contributor to
residential quality of
life
Education and • Important existing Coordination with In addition to providing
Knowledge Creation "cluster" in City institutional partners direct(high wage)jobs,
based on to maximize growth higher educational facilities
concentration of opportunities and make the City potentially
higher education "spinoff" potentials in attractive to a broad range
• Substantial expansion local economy of industry/employer types
of CSUSB planned
Financial Services • High growth Retention/expansion Relatively small cluster in
nationally of existing firms; City and CV, but provides
• High wage Attraction of new high wage jobs and creates
firms demand for office space
Marketing, Design • Emerging presence in Attraction of new Complements focus on
and Publishing City and CV firms being a "creative place"
• Above-average and creates demand for
growth nationally office space;
• High wage Complements other
important clusters(e.g.,
hospitality and real estate)
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Basis for Including as a Recommended
Cluster Priority/Target Strategic Focus Issues
Real Estate, • Large existing cluster Retention/expansion These industries tend to be
Construction, • Moderate growth in vulnerable to market
Development CV and nationally fluctuations
• High wage
Entertainment • Strong and growing Targeted attraction of Generally not high-wage,
cluster in City and new tenants/uses in but important as an
Coachella Valley(CV) support of other EDSP amenity that makes area
• Important links to goals attractive to both residents
other important and visitors
clusters(especially Should increasingly be
Tourism and Retail) integrated with retail
development(with
entertainment
businesses potentially
filling voids left by
traditional retail
anchor tenants,and in
keeping with trends
for retail centers to
make shopping more
"experiential")
Retail/Restaurant4 • Largest existing Retention/expansion Not high wage, but
cluster in City (and possibly focused important from the
• Projected to grow in attraction) in standpoint of tax base and
response to overall collaboration with maintaining a high-amenity
population growth, commercial property community
although the owners
sustainability of this
growth is
questionable given
the ongoing
evolution of the retail
industry
Hospitality and • Important existing Marketing to Not high wage, but
Tourism cluster in City and CV enhance/retain important from the
• Moderate growth in existing facilities; standpoint of tax base and
CV and nationally Attraction of new maintaining a high-amenity
facilities community
°Includes two clusters:Local Hospitality Establishments and Retailing of Clothing and General Merchandise.
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4. Action Plan Highlights
The framework for implementing the EDSP is summarized in this chapter and detailed in the remainder
of the document.
OVERVIEW OF STRATEGY CATEGORIES
The EDSP includes a total of five major strategy groups that are detailed in terms of 22 individual
strategies.The five strategy categories are outlined below.
Strategy Group I: Marketing/Outreach
Strategy Group II: Land Use/Development/Revitalization
Strategy Group III: Infrastructure
Strategy Group IV: Workforce Development
Strategy Group V: Quality of Life
Implementation Priorities.The identified action items have been prioritized on a scale of 1 to 3,as
follows:
1: High-priority program requiring new budget resources(new initiative or substantial
budget increase for existing program)
2: Existing initiative that will be continued at current budget/staffing levels
3: New, lower-priority initiative potentially requiring additional budget resources
(implementation likely to be deferred for 2-3 years)
The recommended priority levels reflect the input of stakeholders participating in the planning process,
as well as recognized best practices for comprehensive economic development programming.
City Lend. This column on Table 13 shows the recommended City department(s)to lead each strategy or
action item.
Partner Entities.This column indicates the external(public or private) "partner"entities that are
recommended as resources to support implementation of selected strategies and action items.
New Resources Needed. In order to give a sense of the extent to which new resources may be required
for implementation,Table 13 denotes items that are closely related to existing programs as follows:
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"continue existing," "refocus existing,"or"expand existing,"Action items that are likely to require new
City funding resources are classified according to the following ranges of estimated costs:
$: Less than$10,000(one-time or annually, as noted for each item)
$$: $10,000 to$25,000(one-time or annually, as noted)
$$$: $25,000 to$50,000(one-time or annually, as noted)
$$$$: More than $50,000(one-time or annually,as noted)
TABLE 13.ACTION ITEM SUMMARY AND PRIORITIZATION
Priority
Strategy Group Level New
Action Item (Scale 1-3: Partner Resources
Sub-Action Item 1=Highest) City Lead Entities Needed
MARKETING/OUTREACH
A. Core Marketing Framework. Establish a
$$(one-
promotional framework for Palm Desert, CVB
focused on the concept of Placemaking, 1 M&T CVEP time)
intended to position Palm Desert as full- ED PDACC $$per
time/full-service community. year
B. Business Retention/Expansion.To demonstrate PDACC annually(if
support for the local business community, 1 ED CVEP a new staff
establish a Retention/Expansion program. position is
needed)
C. Business Attraction. Establish an industry- CVEP
specific Business Attraction function appropriate 1 ED PDACC
for the City.
D. Visitor Marketing.Continue City's role in2 ED$`T CVB
promoting Palm Desert as a visitor destination. VS PDACC
E. Marketing of Key Development Sites.Continue Continue
to actively market City-owned development existing
ED (may need
opportunity sites(as well as privately-owned 2 SA CVEP minimal$
underperforming properties),focusing on
priority/targeted land uses identified through Planning for new
this planning process and other City initiatives. brochures,
etc.)
F. Commercial Tenant Recruitment.Collaborate Property Continue
with commercial property owners to recruit 2 ED Owners
existing
targeted tenants.
LAND USE/DEVELOPMENT/REVITALIZATION
A. Westfield Mall. Encourage/facilitate market ED Unibail-
repositioning (once
repositioning of Westfield mall (consider 2 City knows
Planning Rodamco
including mixed-use,higher density new
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Priority
Strategy Group Level New
Action Item (Scale 1-3: Partner Resources
Sub-Action Item 1-Highest) City Lead Entities Needed
development on portions of site),while also owner's
considering the potential for Palm Desert to plans&
maintain its strength as a focus of regional goals
shopping.
B. El Paseo District. Facilitate long-term market 1 Planning Property T en din
strengthening of El Paseo District. ED Owners (p g
URP)
C. Highway 111 Corridor/San Pablo. Facilitate Planning Property $or
revitalization of Highway 111 Corridor. 1 ED Owners refocus
existing
D. CSUSB Area Development Coordination.
Facilitate optimization of development 2 Planning CSUSB
opportunities in the vicinity of the CSUSB ED UCR
campus.
E. Other Key Districts/Neighborhoods. Implement
$or
development/revitalization initiatives for other 2 Planning refocus
key districts/neighborhoods(not mentioned ED
existing
above), including Desert Willow.
INFRASTRUCTURE •
A. City Infrastructure Priorities.Align City
placemaking and other development plans and Refocus
strategies with key City-designated PW existing/
2
infrastructure elements,existing and particularly Planning re-
planned improvements, as expressed in the prioritize
City's Capital Improvement Plans. CIP
B. Coordination with Regional Broadband
Initiatives.Actively support regional and any ED CVEP
other efforts to expand broadband 1 PW County
development,and ensure that City's policies Planning Utilities
facilitate links to regional infrastructure.
C. Airport/Air Service.Coordinate with regional
partners to expand local air service and
otherwise maximize the potential for the Palm Airport Refocus
CVB
Springs International Airport to support 3 ED CVEP existing
economic development(currently supported
financially through BID).
D. Other Regional Transportation Issues.
Coordinate with regional partners on other
major transportation issues(e.g. investigating 3 ED RCTC Refocus
the potential for converting some of the region's PW existing
excess rail capacity to a local light rail system;
adopting policies to maximize advantages to the
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Priority
Strategy Group Level New
Action Item (Scale 1-3: Partner Resources
Sub-Action Item 1=Highest) City Lead Entities Needed
region of autonomous vehicles;etc.).Would like
to emphasize potential AV demonstration
project in El Paseo
WORKFORCE DEVELOPMENT
A. Assess Workforce Development Needs and CVEP
Align with Business Attraction Efforts. WDC
Coordinate with CVEP, local industry, and 2 ED DSUSD Refocus
workforce training providers to establish and COD existing
maintain alignment of industry needs and the CSUSB
community/regional workforce. UCR
B. Leverage Presence of Higher Educational COD
Institutions.Actively collaborate with COD, ED CSUSB
CSUSB, UCR on future academic and expansion 2
plans(potentially including support on issues Planning UCR
such as housing,transportation,etc.). SunLine
CVEP
iHUB
C. Entrepreneurial Development. Facilitate ED Accelerator $$$$+
entrepreneurial attraction/development. 1 CVWBC
Planning
IECE
SBA
SCORE
QUALITY OF LIFE
A. Placemaking.Tie actions on behalf of targeted : Planning
development projects and special events to I 2 ED CVB Refocus
benefits they offer to the concept of REC CVEP existing
"placemaking." VS
$annually
B. Millennial Attraction. Encourage development ED (assumed
CVB to be an
of new businesses/events attractive to young 3 Planning CVEP added
adults(i.e., Millennia's). REC
amount to
I.A budget)
C. Facilitate Expanded Housing Options. Use City's
ordinances, policies,and other resources to Planning
expand opportunities for development of 3 HousingRefocus
housing that is affordable to a range of income ED existing
levels and that expands the range of housing
prices generally in the Palm Desert market.
City Departments Partner Entities
ED=Economic Development Department Accelerator=Accelerator Campus(Palm Springs)
Housing=Affordable Housing Department Airport=Palm Springs International Airport
• Palm Desert Economic Development Strategic Plan
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M&T=Marketing and Tourism Division COD=College of the Desert
Planning= Planning Department CSUSB=California State University,San Bernardino
PW=Public Works Department CVB=Greater Palm Springs Convention and Visitors
REC=Parks and Recreation Department Bureau
SA=Successor Agency to the Redevelopment Agency CVEP=Coachella Valley Economic Partnership
VS=Visitor Services Department CVWBC=Coachella Valley Women's Business Center
DSUSD=Desert Sands Unified School District
URP—Urban Revitalization Plan for El Paseo District EPB1D=El Paseo Business Improvement District
IECE=Inland Empire Center for Entrepreneurship
iHUB=Palm Springs iHUB(incubator)
PDACC=Palm Desert Area Chamber of Commerce
RCTC=Riverside County Transportation Commission
SBA= US Small Business Administration
SCORE=Service Corps of Retired Executives
UCR=University of California,Riverside
WDC=Riverside County Workforce Development
Center
Suggested Initial Steps
The numbered items below show suggested initial steps for the EDSP.These steps are provided for
consideration by the City,and in some cases may serve as a point of departure for preparing more
detailed implementation plans.
1. Set up system for EDSP implementation,to ensure maximum involvement of multiple
stakeholders,sustained momentum,and sufficient attention is applied to critical,time-sensitive
issues such as specific plan implementation processes, infrastructure priorities, and the like.
2. Determine City's position on industry attraction/economic development marketing role, and
regardless of position taken, maximize the potential to coordinate economic development
marketing with other marketing efforts throughout the City and the Coachella Valley, pertaining
to visitors, development sites, institutions,etc.
3. Coordinate multiple strategic action items/tasks to set up a manageable,sustainable approach
to maximizing Palm Desert's image as a"business accommodating place,"establishing priorities,
phasing, and other considerations.
4. Identify and implement internal priorities with respect to the multiple districts/neighborhoods
described in strategy category II(Land Use/Development/Revitalization)and adjust
CIP/infrastructure priorities accordingly.
5. Ramp up business retention/expansion programming.
6. Coordinate with key partners(CVEP, CSUSB,etc.)to define immediate objectives for an
entrepreneurial development initiative (including potential development of
incubator/accelerator facilities).
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5. Detailed Action Plan
I. MARKETING AND OUTREACH
A. Core Economic Development Marketing Framework. Establish a
promotional framework for Palm Desert, focused on the concept of
Placemaking, intended to position Palm Desert as full-time/full-service
community.
A.1 Promote development/placemaking concepts to Palm Desert residents,focusing on various
aspects of why it is important for the community to evolve.
A,2 Design City's promotional system to include, at a minimum, the following topics:existing and
planned infrastructure capacity, opportunity sites and development focus areas(see Action
Item I.E.), City incentives, other departmental collateral materials, and educational resources.
Where practical, make use of GiS "story maps"within the system.
A.3 Prepare operational plan for implementing promotional system, considering budget and
staffing, coordination with other entities,priorities, and similar considerations.
A.4 Collaborate with CVB and other regional entities as appropriate on the creation of marketing
initiatives to increase attractiveness of Coachella Valley as a place to live and work year-round
(especially for targeted populations such as Millennia's/young professionals).
Because Palm Desert and the Coachella Valley in general are involved in transitioning their
image from a primarily resort environment to that of a more diversified urban area, marketing
strategies and efforts are particularly crucial to the design and execution of overall economic
development programs within the city and region. For this reason,we have combined marketing
action items focused on expanding the image of the area into a Core Marketing Framework.
Marketing considerations include the fallowing:
• Recognizing that Coachella Valley,with all its attractive attributes, has cost advantages
relative to California locations that include:
o Silicon Valley
o Orange County
o Silicon Beach, Los Angeles
• Integrating marketing messages for visitors with marketing the region as a business
location,to help ensure that 1) business prospects are aware of the region's amenities,
even for those amenities for which visitors are the primary marketing target, and 2)
minimizing the distinction between positioning the region as a visitor destination and as
a home for a wide range of business types.
• Making certain that prospects are aware of City-owned development opportunity sites,
which can offer them certain advantages.
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+ Considering the potential for designating districts or"branded neighborhoods"within
Palm Desert, in a manner similar to Palm Springs.This could add an element of
exclusivity to such areas and also define geographic areas in which marketing messages
pertaining to positioning Palm Desert as a full-time/full-service community could be
more meaningfully focused (in the sense that certain areas could more credibly have the
look and feel of a"typical"rather than resort or seasonally oriented community).
The Core Marketing Framework includes promoting the idea of an increasingly diversified Palm
Desert to existing residents,calling their attention to the general advantages of a more
diversified economy, and specific advantages, including having expanded employment options
for youth,and the fact that retirement communities must evolve in order to continue to thrive
(and tools can be made available to facilitate such processes).
B. Business Retention/Expansion. To demonstrate support for the local
business community, establish a Retention/Expansion program.
B.1 Review best practices for Retention/Expansion programs in light of overall economic
development framework,evaluate alternative approaches,and prepare recommendations.
BRE rale within overall economic developments
A fundamental function of local economic development is to respond to inquiries from,
commonly,outside prospects,which tends to result in a "reactive"operational mode.
In a business retention/expansion (BRE) program, local economic development officials may be
contacted by existing firms for assistance, but a BRE program is most likely to be proactively
reaching out to existing businesses to achieve various purposes,one of which is to identify
possible assistance roles.
An ED Strategic Plan sets the framework for the most effective forms,content, etc.of outreach.
Simultaneously,a BRE program will feed into the development and updating of ED strategic
plans. In other words, strategies and actions that are helpful for existing firms are likely to also
be relevant to prospective employers.
BRE tends to be the more visible form of local economic development activity,and so by default
becomes a form of self-promotion for ED while also serving the primary purposes for which the
outreach is conducted.
BRE can also readily be perceived, by existing businesses and also the general public, as
balancing a community's efforts toward attracting new businesses.
Primary purposes include:
5 Resources for this section include the publication:Beyond the Survey:How EDOsAdd Value through Business
Retention and Expansion.International Economic Development Council(IEDC),2017.
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• Discovering community-level issues that may be helping or hindering a particular
business,group of businesses or entire industry/cluster, or a geographic concentration
of businesses.
• Discovering issues outside the community's purview affecting the health of businesses,
in response to which the community could consider a range of responses,from offering
remedial action to generating contingency plans in the face of possible downsizing or
loss of such businesses.
What is the range of the kinds of issues affecting local businesses that a BRE function can
effectively address?
Locally focused:
• Worker retention/recruitment, which could reflect a range of issues from the need for
supplemental training resources to the ability of the community to accommodate
segments of the required workforce, due to limited affordable housing or similar
challenges.
• Land supply or land-use permitting issues,related to the need to expand or to change
operational characteristics.
Broadly focused:
• Disruption or other types of changes within an industry, including trends of outsourcing,
automation,technological innovations,etc.,which might require additional training,
funding for retooling,assistance in attracting specific suppliers or services to the
community, etc.
• Assistance in identifying and implementing export opportunities.
• Unavoidable downsizing, in which the BRE role would be to help displaced workers
locate alternative employment,and to retain displaced employees in the area if
practical.
Implementing the BRE function
Basic outreach functions have traditionally been handled through surveys, in which business
owners/managers are asked to identify specific challenges, positive and negative influences
exerted by the community,and the like. Many examples of these surveys are available from
economic development organizations, and the activity has also been systematized through
organizations such as Blane Canada.'Inherent in any outreach approach is the notion that the
ED people are developing relationships with the business community.Some of these
relationships will involve people at the headquarters of companies with branches in Palm
Desert, but located elsewhere.
http://www.blanecanada.cam/product_synchronist.html
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Finally, major business decisions,such as downsizing, relocation, etc.are sometimes made at
the margins,where even relatively minor interventions can make a difference.
Surveys are frequently supplemented by one-on-one interviews.
Firms to be surveyed/interviewed can be selected and prioritized based on a number of criteria:
• Size of firm.
• Importance of the firm or industry to the local economy,where such firms may or may
not also be tied to industries/clusters formally targeted for community support.
• Awareness that certain industries are especially threatened by global changes.
• Relative importance of entrepreneurially oriented businesses,compared to other
business types.
• Findings from monitoring a specific group of firms, relative to such things as job
postings, social media messages, etc.
Especially in communities where the BRE function is limited,BRE professionals are most likely to
serve in a coordinating role, bringing various partners in workforce development, business
organizations such as the Chamber of Commerce,finance, marketing, etc. in contact with the
firm desiring assistance.
Some communities formalize their partnering arrangements in anticipation of various kinds of
business needs, entering into agreements with selected service providers about procedures,
protocols,etc.
8.2 Prepare operational plan for implementing program, considering budget and staffing,
coordination with other economic development functions and strategic priorities, and similar
considerations.
C. Business Attraction. Establish an industry-specific Business Attraction
function appropriate for the City.
C.1 Review options by which Palm Desert could effectively participate in focused,industry-specific
business attraction activities, in the context of the City's and other regional entities'other
promotion/marketing efforts and in recognition of typical/best economic development
practices, and prepare recommendations.
Attraction programs throughout the US address a wide range of alternative program focus areas
and activities, ranging from outreach to specific firms,and specific locations(perhaps within a
set of targeted industries)to general regional marketing, offering and managing incentives,and
responding to inquiries from prospects.'
In Palm Desert,the working assumption is that attraction efforts will not be directed to
individual firms in specific targeted industries, but focused on promoting Palm Desert as a
'Resources for this section include the publication: Current Approaches to Business Attraction and Retention.
Second Edition,by Steven G.Koven&Thomas 5.Lyons.International Economic Development Council(IEDC),2010.
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desirable location for business activity—with some types of business activity emphasized as
most desired. Under this scenario,the Attraction program is understood to overlap with many
other aspects of the Economic Development Strategic Plan, because of its emphasis on
promoting the value of various community assets, existing and emerging that may be
represented throughout the Plan.
Linkages of the attraction program to various aspects of the EDSP are summarized below:
• Marketing, in which general promotional materials are customized to focus on
community assets(discussed below)considered particularly attractive to prospective
employers(and also tailored to one or more specific sets of preferred
employers/industries). In this sense, marketing is intended to demonstrate the
community's capacity to accommodate, and also be generally attractive to, desired
types of employers.
• Targeted development/improvement areas within the community, different ones of
which may be particularly suited to certain types of businesses, including areas
particularly appropriate for"placemaking"efforts.
• Entrepreneurial support organizations and facilities.
• Education and job training resources.
• Existing business-category strengths, such as high-end regional retail in Palm Desert.
Other components of an attraction strategy that have broad community applicability include the
following:
• An inventory and assessment of business support service industries in or accessible to
Palm Desert can be used to both promote this asset to prospects and identify any gaps
or other weaknesses within this group of service providers that needs to be remediated
through support activities or recruitment of missing components.
• Institutionalizing a process by which the city and other key stakeholders periodically
take on the role of"futurists"would serve notice that businesses will have a local
resource that understands at least some of the dynamics of the globally changing
business and governmental climate, and would therefore be in a position to take
appropriate actions.
The variety of Attraction-related strategic topics also emphasizes the importance of cross-
referencing action items within the EDSP.
City incentives. Monetary and other incentives can also play an important role in the City's
business attraction efforts. In terms of monetary/financial incentives, Palm Desert has(or is
currently considering)the following programs:
• The City's existing Facade Enhancement Program (FEP)assists building owners with
improvements to commercial properties. For qualifying projects,the City currently will
contribute up to half the costs of construction improvements up to$75,000(depending
on property size).Currently the program covers businesses located along Highway 111
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(Monterey Avenue to Deep Canyon Road),and El Paseo (east of Monterey)and soon to
include San Pablo Avenue.
• The City is currently designing a Hotel Incentive Program to incentivize development of
new hotels in targeted areas of Palm Desert(e.g., El Paseo,the Highway 111 Downtown
Core and Desert Willow Golf Resort).The program will provide a framework for tax-
sharing agreements whereby a participating new hotel can recoup a portion of
development/investment costs through a sharing of TOT and/or sales tax revenues
generated by the new development.
• The City is also planning to implement a program to financially assist new businesses in
paying for the permitting requirements of the Coachella Valley Water District(CVWD),
which can otherwise be cost prohibitive for some business types(e.g., restaurants). It is
anticipated that this incentive program will be focused on targeted areas of the City
(e.g., Highway 111/EI Paseo/San Pablo).
In addition to the direct monetary incentives listed above,the City can further enhance the
effectiveness of its business attraction program through the following types of low-cost or
no-cost"incentives":
• Demonstrating how various aspects of livability in the community supports the growth
and functionality of a particular business type,or businesses in general.
• Providing networking or organizational-support opportunities for industries focused on
their particular cluster.A local Manufacturers Association,although probably more
narrowly focused than most cluster-based groups, exemplifies this approach.
• Making facilities available,or otherwise supporting the creation of facilities,for business
incubation,or other types of entrepreneurial or research and development support.
• Demonstrating that local educational and job training resources are in alignment with
desired industries' missions. In this case, partnerships with relevant institutions would
be paired with marketing messages.
C.2 Prepare operational plan for implementing the Business Attraction program,considering
budget and(if required)staffing, coordination with other economic development functions
and strategic priorities,and similar considerations.
Industries targeted for expansion within a locality are generally derived based on a combination
of their likelihood of being successfully expanded within the region, and stakeholders' interests
in diversifying local economies along certain lines.
For small cities, business attraction activities can be delegated to an economic development
entity that represents the larger surrounding region. Larger employers who are likely to be
making use of these kinds of services will in any case first need to be satisfied that the larger
region is a suitable location, and the regional entity will be in the best position to convey these
facts. Consideration of individual cities within that region then becomes a second-level
deliberation process undertaken by the prospect.
CVEP provides a range of services to support existing and new business development in the
Coachella Valley, including support for the Coachella Valley Regional Plan for College and Career
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Readiness (see programs related to action Item iV.A).Three industry clusters are associated with
this effort: Healthcare, Advance Technology, and Arts, Media & Entertainment.'
D. Visitor Marketing. Continue the City's role in promoting Palm Desert as a
visitor destination.
D.1 Continue coordination with hospitality and tourism-retail sector spokespersons to confirm or
refine the City's role, which would include holding discussions with representatives of
organizations such as CVB, trade groups, and business districts.Also investigate specific
measures by which the City can best leverage marketing efforts undertaken by CVB.
D.2 Hold discussions with representatives of cultural organizations such as The Living Desert and
McCallum Theatre, to gain their perspective on how the City can support visitor marketing
efforts, broadly and/or in terms of specific facilities.
Action items within the Visitor Marketing framework can be designed and implemented to be
fully complementary to the Core Marketing Framework discussed above. Visitor and hospitality-
oriented marketing will extend the tradition of promoting the City and region as a destination
for recreation, seasonal living, and retirement, while also including messages related to the
expanded role of the city/region as a full-service urban complex. In the latter context,visitor
amenities are understood to also be attractive to residents and workers(and their employers).
E. Marketing of Key Development Sites. Continue to actively market City-
owned development opportunity sites (as well as privately-owned
underperforming properties), focusing on priority/targeted land uses
identified through this planning process and other city initiatives.
E.1 As part of ongoing efforts to market and otherwise facilitate the development/redevelopment
of suitable properties, incorporate priority/targeted land uses identified through this(EDSP)
planning process.
E.2 Continue efforts to attract additional hotel, recreational, and entertainment uses,particularly
those that complement existing uses of these types, and specifically recognizing the need for
multiple hotels within the El Paseo area.
E.3 Support marketing and other efforts related to building out the remaining development
capacity at Desert Willow.
E.4 Periodically update feasibility analyses related to the PKF(hotel)study and other relevant
studies.
Developable land that is also desirable, and available at a reasonable price, is a relatively scarce
commodity throughout Southern California,and so provides a very tangible advantage to Palm
Desert. By offering such properties within the context of a location, Palm Desert,that is
$http://portal.onefuturecv.org/home
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7
becoming increasingly desirable in part because of actions initiated or encouraged by the City,
the EDSP and property marketing materials become mutually complementary. Uses developed
on these sites can complement the strategic objectives within the EDSP, and the EDSP becomes
an integral part of the value proposition for these sites.
F. Commercial Tenant Recruitment. Collaborate with commercial property
owners to recruit targeted tenants.
F.1 Focus on retail/restaurant/entertainment tenants.
F.2 Focus on employers in other(other than tourist-related)industry sectors.
F.3 Investigate options for improving freeway(l-10)signage to attract additional visitors to Palm
Desert's retail/restaurant/entertainment businesses.
The economic development function can serve as an additional channel by which real estate
brokers, property owners, etc. are put in touch with employer/investor prospects coming into or
expanding in Palm Desert.Some communities choose to maintain databases of available
property, working in cooperation with local real estate professionals, and these are sometimes
set up and managed by third-party providers such as GIS Planning.
It. LAND USE / DEVELOPMENT I REVITALIZATION
Several overarching objectives can be associated with this strategy category:
• Expedite development that contributes to the transition of Palm Desert into a year-round,
economically diversified community, which can be accomplished through a combination of
designating appropriate land uses in new or redevelopment-ready areas of the community
and defining supportive programs.
• Helping to preserve and enhance the value of existing commercial and residential
neighborhoods and facilities, especially areas challenged by changing trends in how such
areas/facilities are used.
• While the City has plans and codes applicable to certain specific areas, additional areas may
need to be identified in which 1) desired land uses, such as light industrial, could be more
readily accommodated, and 2) special attention is needed to preserve/maximize value.
• While industry targeting will play a role in identifying demand for property development,
are there institutional uses,such as hospitals, that are needed and otherwise feasible in
Palm Desert?
A. Westfield Mall. Encourage/facilitate market repositioning of Westfield mall
(consider including mixed-use, higher density development on portions of
site), while also considering the potential for Palm Desert to maintain its
strength as a focus of regional shopping.
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A.1 Identify the essential coordinating elements for aligning the EDSP plus the overall economic
development program with plans and policies related to Westfield Mall.
A.2 The EDSP should anticipate that, if major tenants vacate the mall,the City will form a
partnership with mall owners to develop a master plan to redesign/repurpose all or portions
of the site.
A.3 Draft any recommended special coordinating actions for Westfield Mall(from preceding Sub-
Action Items)and submit for review and potential approval.
The retail industry is changing in fundamental ways,and some of these changes are influencing
the design of new retail centers and the viability of certain types of existing centers, particularly
the traditional enclosed regional mall. Methods of reinvigorating these malls include: 1)
redesigning and reconfiguring them into more contemporary formats, which often includes
attempting to convert malls into something more like traditional main streets; 2) introducing
different kinds of uses, such as offices, residential, hotels, or institutional uses, which may occur
at higher densities;3)changing the retail focus,for example from traditional department store
anchors to discount department or other"big-box" stores.
Palm Desert has virtually monopolized regional shopping trade with the Coachella Valley up to
this point.While other parts of the Valley will increase in population at a faster rate than Palm
Desert,the city's central location could allow it to maintain this trade area advantage.
Consequently, repositioning of the Westfield Mall and other regional-level retail concentrations
can be approached with this potential in mind.
B. El Paseo District. Facilitate long-term market strengthening of El Paseo
district.
B.I identify the essential coordinating elements for aligning the EDSP plus the overall economic
development program with plans and policies related to the El Paseo district.
B.2 Draft any recommended special coordinating actions for the El Paseo District(from preceding
task)and submit for review and potential approval.
C. Highway 111 Corridor / San Pablo. Facilitate revitalization/redevelopment
of Highway 111 corridor.
C.1 Identify the essential coordinating elements for aligning the EDSP plus the overall economic
development program with plans and policies related to the Highway 111 corridor.
C.2 Draft any recommended special coordinating actions for the Highway 111 corridor(from
preceding task)and submit for review and potential approval.
The Highway 111 corridor is vitally important to the physical business environment of Palm
Desert because of its linkages to El Paseo, Westfield Mall, and other business and institutional
features. Balancing the function of a major thoroughfare with the development potential along
it is a common challenge in urban planning and design, so the potential of areas such as the
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corridor always involve compromises. Corridors such as this tend to benefit from targeted
government investment(in buildings as well as streetscape and other infrastructure
improvements),flexibility in zoning and other land use requirements, rehabilitation programs,
and special events/promotions and incentives. For many visitors as well as residents in the area,
the corridor will be the gateway to Palm Desert.
A number of specific improvements to Highway 111 are outlined in the 2016 Palm Desert
General Plan, related to Implementation steps involving the City Center Area Plan (Chapter 10).
These improvements(phased according to funding availability) include:
• New frontage road access points
• Cycle tracks
• Landscaping in the median and elsewhere
• Gateway monument signage
• Crosswalks
• Technical improvements such as striping and traffic signal synchronization
Design standards will enhance the aesthetics and functionality of the 111 Corridor properties.
The phasing of improvements will begin at the intersection of Highway 111 with San Pablo
Avenue and extend outward east and west from there,emphasizing Highway 111 as an entry
point to the City Center area.
D. CSUSB Area Development Coordination. Facilitate optimization of
development opportunities in the vicinity of the CSUSB campus.
D.1 Establish a partnership with CSUSB to maximize development potential,
suitability/compatibility,and timing,for vacant land areas surrounding the master-planned
property(the master-planned property includes developed and as yet undeveloped portions of
the campus)shown in the Campus Master plan 2017 for CSU, Palm Desert Campus.
Options for this could range from having the city commit to various principles,standards, etc.
for the vacant property outside the master plan("unplanned property") to working with CSU to
develop a specific plan for the relevant area.The intent of such efforts is to recognize the value
of the University presence and the unique opportunities to support campus development
through appropriate planning and development measures.These points are set forth in the
2016 Palm Desert General Plan,which states that:
The City needs to be certain that planning helps support the presence of"enough land
in the vicinity of the universities to accommodate new students,faculty, and university-
supportive businesses. . . .and to ensure that all new development in the area is
interconnected so as to form a cohesive university area" (page 22).
D.2 Identify the essential coordinating elements for aligning the EDSP plus the overall economic
development program with plans and policies related to the University/Cook area,and
describe the rationale for recommending any coordinating steps.
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For the Cook Street corridor near the University,the need for coordinating with the presence
and expansion of the CSUSB campus applies,as in Sub-Action Item D.1. above.Also, Cook Street
in this area needs to be configured so that its effect,as a major street, on dividing the campus
from the rest of the University area is minimized.This issue is addressed in the 2016 Palm Desert
General Plan, including guidance on how the configuration of the street can change over time,
as needed,while minimizing the"barrier" effect in the interim (page 59).
The 2016 University Neighborhood Specific Plan "provides a vision,standards, and
implementation strategies for the University Neighborhoods in the westerly half of the
University District."The vision is characterized by"a synthesis of traditional American neigh-
borhood patterns"—typified by spatial definition,integration of varied housing types and uses,
and a strong sense of place—"with the modern design and desert landscape heritage and
sensibilities of Palm Desert and the Coachella Valley(page 2-1)."
Standards in the Specific Plan describe the required urban and architectural design patterns,
regulate uses and densities,and regulate the design of the public space network that forms the
framework of the Plan area.The standards focus on encouraging a"circulation network that
balances the use of all travel modes, including automobiles, pedestrians, bicycles and public
transit(page 1-7)."
0.3 Draft any recommended special coordinating actions for the University/Cook area(from
preceding task)and submit for review and potential approval.
E. Other Key Districts/Neighborhoods. Implement development/
revitalization initiatives for other key districts/neighborhoods.
E.1 Identify the essential coordinating elements for aligning the EDSP plus the overall economic
development program with plans and policies related to the other key
districts/neighborhoods,and describe the rationale for recommending any coordinating steps.
E.2 Draft any recommended special coordinating actions for the other key districts/neighborhoods
(from preceding task)and submit for review and potential approval.
Development/revitalization initiatives in other key locations within Palm Desert can be
identified in recognition of the following conditions:
• Projects at key locations within a struggling area can seed other property enhancements.
• "Key locations" include consideration of visibility, existing levels of distress,capacity and
other suitability for uses that tend to generate additional beneficial activity, potential to
contribute to a "chain of relationships" among separate improved properties,the need to
encourage a transition of activities concentrated in an area to more productive ones,
potentially involving one or more targeted industries.
• Revitalization target areas are not always obvious. For example,specialized communities
such as those accommodating senior residents do not necessarily follow a typical lifestyle
transition pattern,since they begin life serving a narrowly focused demographic group.As
the initial cohort of already-elderly residents continue to age in place,community facilities
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and infrastructure may need to adapt, aging residents may want to generate plans and
repurpose facilities for encouraging younger population segments, and other changes may
be needed to take advantage of change happening outside the community/neighborhood.
Homeowners' associations in such communities may need technical and other support in
addressing these kinds of challenges.
III. INFRASTRUCTURE
A. City Infrastructure Priorities. Align City placemaking and other
development plans and strategies with key City-designated infrastructure
elements, existing and particularly planned elements, as expressed in the
City's Capital Improvement Plans.
A.1 Coordinate San Pablo Street Improvements,such as those identified in the Proposed Five-Year
Capital Improvement Program (Fiscal Year 2017-2018 to 202I-2022)with the vision in the
2016 Palm Desert General Plan of a revitalized San Pablo Corridor.
The General Plan identifies San Pablo Avenue as a key area for transformational change to
facilitate the creation of a downtown/city center for Palm Desert.
A.2 Establish an inter-departmental committee to annually review the City's infrastructure
priorities based on the potential economic development benefits of potential capital
improvements
A.3 Establish a framework through which infrastructure development and planning is coordinated
with plans for property development/revitalization, where economic development interests
apply.
Coordinated and timely infrastructure improvements can be key to achieving strategic plan
objectives that involve property development,and because at least some infrastructure
elements are under the control of the City, it is a relatively straightforward process to achieve
this kind of coordination.
B. Coordination with Regional Broadband Initiatives. Actively support
regional and any other efforts to expand broadband development, and
ensure that City policies facilitate links to regional infrastructure.
8.1 Document regional efforts, current and planned, to secure and expand broadband services,
and assess level of effort, timing, etc.
B.2 Explore City options,if any, beyond support of any regional efforts, and recommend options
for consideration, with supporting rationale.
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Strategies to enhance broadband service are hampered almost everywhere because of service
providers' reluctance to share information and thereby compromise some potential competitive
advantage. Policymakers have a tendency to end-run this problem by targeting broadband
development to special populations or institutions. Alert stakeholders can piggyback on such
initiatives by encouraging providers(other than those involved in the targeted improvement)to
take advantage of the opportunities provided by such programs to expand service, for example
by running additional lines in an open trench.As these kinds of programs tend to have limited
lifecycles,they need to be closely monitored.
The RivCo Connect Broadband Master Plan for Riverside County offers several low-cost
strategies that could be implemented to assist in the execution of this action item initiative.A
summary of these strategies includes:
■ Requiring dedicated conduit on major arterials when issuing encroachment permits (Dig
❑nce Concept).
■ Allowing public facilities to be used for technology purposes.
• Creating and maintaining an accessible database of infrastructure assets that could
potentially be used by broadband providers.
■ Coordinating with private entities(e.g.Southern California Edison) in order to utilize
their broadband assets while other entities, existing or new,are developing broadband
infrastructure citywide.
• ❑eveloping an informational resource to spread awareness of broadband expansion to
indirectly market or identify companies that are participants in this process.
In the City of Rancho Cucamonga, Rancho Cucamonga Municipal Utilities(RCMU) maintains a
fiber-optic system that has been primarily used by the City. Rancho Cucamonga adopted a Fiber
Master Plan on September 20, 2017.The Plan outlines how the city, along with a public private
partnership,will provide high speed broadband gigabit service to Rancho Cucamonga. The Plan
"provides staff with the framework and tools to implement the goal of providing gigabit
broadband service in the future to the business community as well as a fiber-to-the-
premise/home project."9
C. Airport/ Air Service. Coordinate with regional partners to expand local air
service and otherwise maximize the potential for the airport to support
economic development.
C.1 Explore and identify options currently under consideration by Palm Springs and elsewhere in
region,for expanding air service or any other function that would serve Palm Desert of other
regional economic development interests as outlined in the EDSP.
9 https:/fwww,cityofrc.us/cityhall/engineeringfrcmu/fiber_opticidefault.asp
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C.2 Explore and identify any new,additional options for expanding the Airport's role in economic
development,and if options are found,identify potential partners and other strategic matters
that would need to be considered.
The City of Palm Springs,which operates the Palm Springs International Airport,completed the
Palm Springs International Airport Master Plan Update in September of 2015.The master plan
deals primarily with various enhancements to the Airport's operational capabilities.The City of
Palm Springs General Plan,General Plan Land Use Detail map(Central Area, updated December
2014)shows land designated for industrial use, some developed and much of it currently vacant,
surrounding the Airport.Some of the industrial-designated land to the south of the airport is
also within a redevelopment area identified by the City. In general, however, residential uses are
also abundant near the airport including, at the north end, areas directly under the flight path.
In such circumstances, it is reasonable to expect conflicting interests to arise with any planned
or actual increase in air traffic.
Securing additional scheduled air service is an ongoing challenge for small cities, requiring
regional cooperation and both short and long-term strategic direction and championing of this
objective.Air carriers complicate this challenge through continuous tinkering of their business
plans,the necessity to update aircraft and other systems that then have different capabilities
and compatibilities with small airports,and similar considerations. Regulatory measures also
affect the potential for small cities to retain air service.The resulting general lack of certainty in
air service at small cities can be a serious detriment to local economic development.
D. Other Regional Transportation Issues. Coordinate with regional partners
on other major transportation issues (e.g. investigating the potential for
converting some of the region's excess rail capacity to a local light rail
system; adopting policies to maximize advantages to the region of
autonomous vehicles; etc.).
D.1 Monitor the progress of regional plans and make periodic recommendations on how to
respond to progress,changes of plans, etc.,in context of the EDSP.
D.2 Provide input,as part of regional planning for transportation, with a focus on how best to
align with EDSP strategic objectives.Also,monitor"big picture"trends,such as autonomous
vehicles, and see that these kinds of trends are considered as part of plan development.
Official regional transportation coordination tends to be a fairly bureaucratic process,
thoroughly systematized and generally long range in terms of major investments.This may be
particularly applicable in relation to rail-related projects.The following material,summarizing
the status of plans to: 1)evaluate the potential of future commuter rail service to the Coachella
Valley, and 2) bring additional Amtrak intercity rail service to the Coachella Valley from Los
Angeles, is summarized in Table 4, EDSP Elements and Programs.
Local stakeholders can,however,continue to identify and advocate for innovative approaches
to improving transportation systems,while being mindful of regional projects unfolding after
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years in the pipeline.Creative thinking related to transportation should involve at least the
following considerations:
• Improved transit service could extend, although minimally at this time,the Coachella Valley
labor shed,although it must be noted that workers can commute out of the area as easily as
they can commute in.
• Good transit services can help attract younger workers, who seem to be more amenable to
this type of commuting.
• An efficiently functioning bus system is probably the most cost-effective near-term transit
improvement to examine for Coachella Valley. Investigations of enhanced bus service could
include the concept of express buses to city hubs.
• Self-driving cars and trucks(and recreational vehicles,etc.) will change many aspects of the
relationship between transportation and land use,and therefore between where people live
and where they work,shop, recreate, etc.The nature, extent, and pace of this change are
unknown at this time, but policymakers can closely monitor the technological, policy,and
other trends that will foreshadow what we should expect to be an imminent major overhaul
in how transportation services are provided. Effects could be felt in,for example: 1) an
overall increase in the general attractiveness of the region to the extent it is perceived as
being more readily accessible; 2)the flexibility of working with areas targeted for
revitalization if parking space and access requirements are significantly reduced; 3)the need
to repurpose certain auto-oriented uses(e.g. parking garages) in order to maintain basic
functionality.
IV. WORKFORCE DEVELOPMENT
A. Assess Workforce Development Needs and Align with Business Attraction
Efforts. Coordinate with CVEP, local industry, and workforce training
providers to establish and maintain alignment of industry needs and the
community/regional workforce.
A.1 Conduct interviews or establish other system for obtaining input from industry
representatives, to identify gaps in skills that they are facing, through difficulty in recruiting or
finding people whose skills do not fully match their needs.
A.2 Meet with CVEP and training providers to assess and document their perceptions of alignment
of industry needs with training programs and facilities that are available.
A.3 Through interviews or other input from industry representative and workforce training
providers, inventory issues directly or indirectly related to attracting and accommodating the
required workforce, including barriers to recruitment and the capacity of the community to
support the range of workers required to sustain economic growth.
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A.4 Actively integrate industry attraction efforts with local education/workforce development
systems. (See Action Item IV.A.).
Mismatches between the workforce-skills requirements of local industries and the available
workforce and workforce training resources are common throughout the country, in some cases
in spite of focused efforts to align these conditions.Some of the dimensions of this challenge
include the following:
• The rapid pace of change in workforce requirements,with increasing use of automation
across virtually all industries, means that workers face the challenge of frequently updating
their existing skills or even cross-training into other skill sets. Meanwhile education/training
institutions attempt to keep their teaching expertise up-to-date and also obtain new
technology essential for training purposes—some while facing the usual budget constraints
of public institutions.
• Employers in manufacturing and other blue-collar sectors,throughout the US,frequently
express concern about our educational (K-12)system's focus college preparation when
there are many well-paying technical jobs that require training and general job preparation
that differ from most university curricula. High school students tend to be unaware of these
opportunities,and in some places manufacturing organizations and individual firms conduct
special outreach programs to help remedy this.
• Especially for small cities,a lack of critical mass in any particular industry that requires
specific skill sets means that workers with those skills are less likely to be both found in the
area initially and be attracted to the area, if they do not perceive that opportunities are
sufficiently plentiful for them to risk relocation. In this sense,the measure of"critical mass"
varies primarily on the basis of the perception of the skilled workers (although it also carries
over into prospective employers' perceptions).This issue is one reason why target-industry
analysts include criteria measuring the relative strength of industries already in an area.
While low scores in this particular measure do not automatically preclude an industry from
being targeted,depending on other factors, potential limitations in workforce availability
must always be considered.
• A limited supply of affordable housing is a common barrier to a diversified
economy/workforce, especially in high-amenity communities such as Palm Desert. Because
this problem is so widespread in California,there are numerous best practices that can be
called upon to help address the issue, even though comprehensive solutions seem to remain
elusive.
CVEP is involved in workforce development through the Coachella Valley Regional Plan for
College and Career Readiness a partnership between industry,economic development,and
education professionals,along with students throughout the Coachella Valley,with the overall
goal of aligning programs in students with economic opportunities in the Valley.
An area's competitive advantage can sometimes be a function of specialized expertise, unique
programs,etc.within local institutions of higher learning or other job-training resources.
Similarly,the simple presence or lack of certain kinds of education/training resources can
influence the selection of target industries.In Palm Desert,the general perception is that
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students are graduating from institutions and have very limited options for local employment in
fields related to the training they have acquired.
B. Leverage Presence of Higher Educational Institutions. Coordinate with
COD, CSUSB, UCR on future academic and expansion plans (potentially
including issues such as housing, transportation, etc.).
8.1 Compile expansion plans of institutions,assess how these relate to one another and how they
potentially support EDSP objectives.
8.2 Investigate what direct support is needed by these institutions, and what options are available
to the City to provide these kinds of support, which might include coordinating with other
entities in the region.
8.3 Investigate what types of indirect support(e.g. Specific Plan coordination)would help the
institutions implement their expansion plans, and what options are available to the City to
provide these kinds of support.
8.4 Advocate for increased funding for local colleges.
An economic development strategic plan can provide traditional forms of support to the
expansion plans of local institutions of higher learning(rallying stakeholders, political action,
etc.), and play a key role in providing peripheral support to campus expansion plans, involving
matters such as infrastructure development, production of suitable housing, and expansion of
transit systems.
The City of Palm Desert, through creation of the University Neighborhood Specific Plan, provides
both direct and indirect support to CSUSB's expansion plans. This Plan can be further
coordinated through the Economic Development Strategic Plan.
Institutions of higher learning also face competitive pressure, competing for staff,students, and
resources to maintain and expand services. Local colleges and universities can also be major
influences on the attractiveness of a place for economic activity,especially for high wage, high
value functions.
C. Entrepreneurial Development. Facilitate entrepreneurial
attraction/development.
C.1 Establish coordination protocols between the City and existing programs in the region.
C.2 Investigate the potential for Palm Desert to become the second Coachella Valley location for
the Accelerator Campus currently located in Palm Springs.
C.3 Promote development of co-working facilities in Palm Desert, which can bridge the gap for
entrepreneurs between formal office space and working from home.
Providing support for entrepreneurs is an accepted integral part of economic development
practice, in keeping with the generally accepted observation that start-up and expanding local
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businesses are a major source of local job creation, especially for small cities.The practice is
especially justifiable in amenity-rich communities such as Palm Desert,where individuals with
the means to do so may choose to live and sometimes work independently,choosing a place
that is attractive to them without necessarily having to rely on other existing locally based
economic opportunities. While not all entrepreneurs in this general category will need business-
development support or incubators,the presence of support services can help enterprising
individuals take their independent businesses to a higher level than they might otherwise attain.
A number of facilities and organizations provide support for entrepreneurs in the Coachella
Valley, as shown on Table 4, EDSP Elements and Programs.
V. QUALITY OF LIFE
A. Placemaking. Tie actions on behalf of targeted development projects and
special events to benefits they offer to the concept of "placemaking."
A.1 Establish criteria related to placemaking and incorporate it into processes by which priorities
for promoting and otherwise encouraging specific development projects are determined.
A.2 Specifically incorporate placemaking into support for, and planning/coordination efforts
related to, special events.
According to the Project for Public Spaces, placemaking has to do with "strengthening the
connection between people and the places they share."As a function, placemaking represents
"a collaborative process by which we can shape our public realm in order to maximize shared
value."As a concept, placemaking encourages a creative,comprehensive approach to fostering
people's identification with a place,and is therefore understood to include consideration of
anything from physical enhancements to giving expression to cultural values.1°
B. Millennial Attraction. Encourage development of new businesses/events
attractive to young adults (i.e., Millennials).
8.1 Establish a system for investigating options and use that system,which may include creative
outreach efforts, to develop a list of businesses/events considered to be attractive to young
adults,and which could include existing establishments or business types as well as those not
currently present in Palm Desert.
8.2 Review priority sites/areas and other locations in the City,and evaluate and prioritize their
suitability as locations for businesses/events attractive to young adults.
1°https://www.pps.org/reference/what_is_placemaking/
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8.3 Establish policies aligned with promoting the development of businesses/events attractive to
young adults, including incentives or other methods for encouraging, recommended practices
for such businesses(e.g. hours of operation),adjustments to codes, and similar considerations.
Having these kinds of facilities and activities can contribute to placemaking efforts and round
out other"destination" amenities already present in Palm Desert, including other visitor-
oriented amenities, some of which are attractive to local residents as well as tourists and
seasonal residents. By carefully considering other such facilities/venues in Coachella Valley,
Palm Desert can cultivate a unique niche for this sort of activity. The location of these types of
functions must take into consideration neighborhoods' resilience for such activities.
C. Facilitate Expanded Housing Options. Use City's ordinances, policies, and
other resources to expand opportunities for development of housing that is
affordable to a range of income levels and that expands the range of
housing prices generally in the Palm Desert market.
C.I Review City development ordinances/policies to identify alternative strategies by which
ordinances could be used, as given(e.g.,form based code)or modified, to encourage
development of housing that expands market choices.
C.2 Review City priority sites/areas and other locations in the City, and evaluate and prioritize
their potential as locations for encouraging the development of appropriate market-
expanding housing.
C.3 Investigate options outside of the City's purview for promoting the development of affordable
housing, which might involve coordinating with other entities.
The problem of maintaining housing affordability in "high amenity" areas is pervasive
throughout the US. Some people who have the means to live in desirable areas such as Palm
Desert exist independently of the local economy,which tends to put additional upward pressure
on home prices.To some extent government programs, including some federal programs that
subsidize housing costs, can help with this issue, but these are generally intended to serve
"traditionally disadvantaged" populations (e.g.those with incomes at some percentage below
the area median).
This action item can focus on the need to accommodate a younger and otherwise more diverse
workforce both to meet the needs of existing businesses and in anticipation of the Palm Desert
economy maturing into a broader economic base.The action item will need to include raising
public awareness of the critical connection between housing issues and Palm Desert's potential
to remain economically competitive and achieve goals of economic diversification (this is also
true for other cities in Coachella Valley). Public awareness efforts should directly address
NIMBYismll and related public opinions that frequently arise in discussions related to the
provision of affordable housing.
" NIMBY: Not In My Back Yard.
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Because affordable housing is not only an economic issue but also relates to social services and
overall public health and welfare, strategic actions typically involve a consortium/coalition of
interest groups, including economic developers and other City departments.
Potential specific strategies related to this action item include the following:
• Minimize housing costs associated with regulatory processes where possible,through
expediting approvals,minimizing uncertainty within the approval process,and similar
measures.
• Directly incentivize affordable housing,whether such housing is developed within market
rate projects or separately. Incentives can include increased density in carefully designated
areas(which might include redevelopment areas) and in mixed-use projects.
• Consider adopting accessory dwelling unit(ADU)and other innovative supply-augmenting
programs.
• Target publicly funded infrastructure improvements for places where the new infrastructure
can have the effect of lowering housing development costs.
Action Item interactions —Highlighting Actions that Support Multiple Objectives
The Table 14 matrix displays the action items listed in a series of rows in the left-hand columns and the
numbers corresponding to those same action items in the series of right-hand columns.The matrix
indicates action items(in the numbered column headings)that potentially interrelate with each of the
action items listed in the rows.The matrix can serve two purposes: 1)to prioritize overall management
of EDSP implementation (by identifying actions that are potentially most"productive" in terms of
supporting multiple objectives),and 2) alert parties involved in any one particular action item to be
aware of what others might be doing with regard to potentially related action items. A simple way to
interpret this table is that multiple X's in a column indicate that an action is also helping to enhance or
make progress on the other line items that are marked with an X.Thus,the more X's in a column,the
more"productive"a potential action item potentially is across multiple EDSP objectives.
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Existing Programs/Activities Relevant to the EDSP
Table 15 below provides a summary of existing City(and partner entity) programs that are relevant to each
EDSP strategy and action item.
TABLE 15.EDSP ELEMENTS AND PROGRAMS
Strategy Group
Action Item
Task Existing initiatives/Programs
MARKETING AND OUTREACH
The City of Palm Desert publishes the bi-monthly
BrightSide newsletter, providing residents and
A. Core Marketing Framework. Establish a businesses information on local events and City
promotional framework for Palm Desert,focused news. The City also disseminates information
on the concept of Placemaking,and intended to through Facebook and a City mobile app. An existing
position Palm Desert as full-time/full-service program, Palm Desert Welcomes You, could be
community. expanded to extend to businesses and to generally
extending the City's brand.
Approaches to implementing this task should be
A.1 Promote development/placemaking concepts directly tied to the ongoing implementation of the
to Palm Desert residents,focusing on various General Plan update(a continuation of processes
aspects of why it is important for the that work integral to the update process itself).This
community to evolve in these ways. task might incorporate online platforms such as
Open City Hall.
A.2 Design City's promotional system to include, at
a minimum,the following topics: existing and
planned infrastructure capacity,opportunity
sites and development focus areas(see Action
Item I.E.),City incentives,and educational
resources.
A.3 Prepare operational plan for implementing
promotional system.
The Palm Desert Area Chamber of Commerce
(PDACC) promotes the region internally through
maintaining information about the local business
A.4 Collaborate with CVB and other regional community and through various networking events.
entities as appropriate on the creation of Other region wide events could attract outsiders as
marketing initiatives to increase attractiveness well as locals(see continuation text in Note 1
of Coachella Valley as a place to live and work following this table).
year-round (especially for targeted populations
such as Millennials/young professionals) The Greater Palm Springs Convention and Visitors
Bureau (CVB) maintains information that focuses on
providing visitors with insights into certain unique
characteristics and events related to tourism in the
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Strategy Group
Action Item
Task Existing Initiatives/Programs
region (see continuation text included in Note 1
following this table).
Other groups contributing to this effort include:
• The Coachella Valley Economic Partnership
(CVEP)
• The City of Palm Desert (basic information
about the community plus a promotional
video, plus sponsorship of key events). See
continuation text included in Note 1
following this table.
B. Business Retention/Expansion.To demonstrate
support for the local business community,establish
a Retention/Expansion program.
B.1 Review best practices for Retention/Expansion
programs in light of overall economic
development framework, evaluate alternative
approaches,and prepare recommendations.
B.2 Prepare operational plan for implementing
program,considering budget and staffing,
coordination with other economic
development functions and strategic priorities,
and similar considerations.
C. Business Attraction. Establish an industry-specific
Business Attraction function appropriate for the
City.
C.1 Review options by which Palm Desert could
effectively participate in focused, industry-
specific business attraction activities.
C.2 Prepare operational plan for implementing the
Business Attraction program.
D. Visitor Marketing. Continue the City's role in
promoting Palm Desert as a visitor destination.
D.1 Continue coordination with hospitality and
tourism-retail sector spokespersons to confirm
or refine the City's role,and leverage marketing
efforts undertaken by CVB.
D.2 Hold discussions with representatives of The City has an existing cooperative marketing
cultural organizations such as The Living Desert program with major local destinations and hotels
and McCallum Theatre,to gain their (to support public relations and marketing efforts).
perspective on how the City can support visitor
marketing efforts, broadly and/or in terms of
specific facilities.
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Strategy Group
Action Item
Task _AL Existing Initiatives/Programs
E. Marketing of Key Development Sites. Continue to This activity is an ongoing process at the City.
actively market City-owned development
opportunity sites(as well as privately-owned
underperforming properties),focusing on
priority/targeted land uses identified through this
planning process and other city initiatives.
E.1 As part of ongoing efforts to market and
otherwise facilitate the
development/redevelopment of suitable
properties, incorporate priority/targeted land
uses identified through this(EDSP) planning
process.
E.2 Continue efforts to attract additional hotel,
recreational, and entertainment uses,
particularly those that complement existing
uses of these types.
E.3 Support marketing and other efforts related to
building out the remaining development
capacity at Desert Willow.
E.4 Periodically update feasibility analyses related
to the PKF(hotel)study and other relevant
studies.
F. Commercial Tenant Recruitment.Collaborate with The City utilizes CoStar and Loop Net (subscription
commercial property owners to recruit targeted real estate databases) to research and promote
tenants, available site locations.
F.1 Focus on retail/restaurant/entertainment
tenants.
F.2 Focus on employers in other(other than
tourist-related) industry sectors.
F.3 Investigate options for improving freeway(1-10) The City recently adopted a Freeway Sign
signage to attract additional visitors to Palm Monument Ordinance,which specifies conditions
Desert's retail/restaurant/entertainment for the height,spacing and size of freeway
businesses. monument signs.
I!. LAND USE/DEVELOPMENT/REVITALIZATION
The City has taken steps to facilitate potential future
A. Westfield Mall. Encourage/facilitate market enhancements or other changes (e.g., reduced
repositioning of Westfield mall (consider including required parking ratios, built parking structures,
mixed-use, higher density development on portions changed allowable building heights).
of site),while also considering the potential for City Council and staff have met with Westfield
Palm Desert to maintain its strength as a focus of corporate representatives to convey the City's
regional shopping readiness to support repositioning of the mall as
changes continue to occur in the retail industry.
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Strategy Group
Action Item
Task Existing Initiatives/Programs
City has supported/sponsored STREET, an annual
"free fest" celebrating street art, music,food and
fashion.STREET is held under the stars on The Deck,
the mall's third level parking area.
A.1 Identify the essential coordinating elements for
aligning the EDSP plus the overall economic
development program with plans and policies
related to Westfield Mall.
A.2 The EDSP should anticipate that, if major
tenants vacate the mall,the City will form a
partnership with mall owners to develop a
master plan to redesign/repurpose all or
portions of the site.
A.3 Draft any recommended special coordinating
actions for Westfield Mall (from preceding Sub-
Action Items)and submit for review and
potential approval.
The El Paseo Business Improvement District,
established by the City of Palm Desert, is the
governing board overseeing the promotion of the
District.The District's Board of Directors is
B. El Paseo District. Facilitate long-term market appointed by the City Council from within the group
strengthening of El Paseo district of El Paseo merchants.
The City is currently working on an Urban
Revitalization Plan for El Paseo to help improve
walkability and create a sense of place for the
district.
B.1 Identify the essential coordinating elements for
aligning the EDSP plus the overall economic
development program with plans and policies
related to the El Paseo district.
B.2 Draft any recommended special coordinating
actions for the El Paseo district (from preceding
task) and submit for review and potential
approval.
The City of Palm Desert adopted the One Eleven
Development Code(dated January, 2017), which
C. Highway 111 Corridor/San Pablo. Facilitate uses new zoning districts and development
revitalization/redevelopment of Highway 111
standards to facilitate creation of a "Downtown
corridor Palm Desert." New zoning districts for"Downtown"
and "Downtown Edge" allow for multi-story mixed
use buildings along Highway 111, El Paseo,and San
Pablo Avenue.Two new overlay districts,
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Strategy Group
Action Item
Task Existing Initiatives/Programs
"Downtown Core"and "Downtown Edge
Transition," recognize the need to contain higher
densities within areas that are not close to existing
single-family residential.'
C.1 Identify the essential coordinating elements for
aligning the EDSP plus the overall economic
development program with plans and policies
related to the Highway 111 corridor.
C.2 Draft any recommended special coordinating
actions for the 111 corridor(from preceding
task)and submit for review and potential
approval.
The University Neighborhood Specific Plan "will
provide detailed design guidance for the
neighborhoods near the universities and the roads
D. CSUSB Area Development Coordination. Facilitate that connect the area internally and with the rest of
optimization of development opportunities in the the city."The campuses of C5U and UC can be
vicinity of the CSUSB campus. viewed as a way of providing the City with new
opportunities for educating residents, attracting
new talent to the valley by way of both faculty and
students, and attracting investment related to
_ university operations.
According to the 2016 Palm Desert General Plan:
D.1 Establish a partnership with CSUSB to maximize
development potential, The City needs to be certain that planning helps
suitability/compatibility, and timing,for vacant support the presence of"enough land in the vicinity
land areas surrounding the master-planned of the universities to accommodate new students,
property(the master-planned property faculty,and university-supportive businesses. . . .
includes developed and as yet undeveloped and to ensure that all new development in the area
portions of the campus) shown in the Campus is interconnected so as to form a cohesive university
Master plan 2017 for CSU, Palm Desert area" (page 22).
Campus.
D.2 Identify the essential coordinating elements for The 20I6 Palm Desert General Plan provides
aligning the EDSP plus the overall economic guidance on how the physical configuration of the
development program with plans and policies street can change over time,as needed,while
related to the University/Cook area, and minimizing, in the interim,the "barrier" effect
describe the rationale for recommending any between the main campus and related areas to the
coordinating steps. _west of Cook(page 59).
D.3 Draft any recommended special coordinating
actions for the University/Cook area (from
'2 http://www.cityofpalmdesert.org/our-city/departments/one-eleven-dvelopment-code
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Strategy Group
Action Item
Task Existing initiatives/Programs
preceding task)and submit for review and
potential approval.
The City's newly updated General Plan (adopted
November 10, 2016) identifies San Pablo Avenue as
a key area for transformational change to facilitate
the creation of a downtown/city center.The mile-
E. Other Key Districts/Neighborhoods. Implement long corridor connects shopping, restaurants, and
development/revitalization initiatives for other key other commercial services at El Paseo and Highway
districts/neighborhoods(not mentioned above), 111 with residential neighborhoods and civic uses
including Desert Willow. including Palm Desert City Hall, College of the
Desert,Civic Center Park,and eventually, CVLink.
http://www.cityofpa Imdesert.org/ou r-
city/departments/pla nn ing/sa n-pablo-
improvements)
El Identify the essential coordinating elements for
aligning the EDSP plus the overall economic
development program with plans and policies
related to the other key
districts/neighborhoods, and describe the
rationale for recommending any coordinating
steps.
E.2 Draft any recommended special coordinating
actions for other key districts/neighborhoods
(from preceding task) and submit for review
and potential approval.
III. INFRASTRUCTURE
A. City Infrastructure Priorities.Align City
placemaking and other development plans and
strategies with key City-designated infrastructure
elements,existing and particularly planned
elements,as expressed in the City's Capital
Improvement Plans.
A.1 Coordinate San Pablo Street Improvements, The 2016 Palm Desert General Plan identifies San
such as those identified in the Proposed Five- Pablo Avenue as a key area for transformational
Year Capital Improvement Program (Fiscal Year change to facilitate the creation of a downtown/city
2017-2018 to 2021-2022)with the vision in the center for Palm Desert.
2016 Palm Desert General Plan of a revitalized
San Pablo Corridor.
A.2 Establish an inter-departmental committee to
annually review the City's infrastructure
priorities based on the potential economic
development benefits of potential capital
improvements
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Strategy Group
Action Item
Task Existing Initiatives/Programs
A.3 Establish a framework through which
infrastructure development and planning is
coordinated with plans for property
development/revitalization,where economic
development interests apply.
•
B. Coordination with Regional Broadband Initiatives.
Actively support regional and any other efforts to
expand broadband development, and ensure that
City's policies facilitate links to regional
infrastructure.
B.1 Document regional efforts,current and
planned,to secure and expand broadband
services, and assess level of effort,timing,etc. _
B.2 Explore City options, if any,beyond support of
any regional efforts,and recommend options
for consideration,with supporting rationale.
The City of Palm Springs,which operates the Palm
C. Airport/Air Service. Coordinate with regional Springs International Airport, completed the Palm
partners to expand local air service and otherwise Springs International Airport Master Plan Update in
maximize the potential for the Airport to support September of 2015,which deals primarily with
economic development. various and enhancements to the Airport's
operational capabilities.
C.1 Explore and identify options currently under
consideration by Palm Springs and elsewhere in
region, for expanding air service or any other
function that would serve Palm Desert of other
regional economic development interests as
outlined in the EDSP.
C.2 Explore and identify any new,additional
options for expanding the Airport's role in
economic development,and identify potential
partners and other strategic matters.
D. Other Regional Transportation Issues. Coordinate The following material is taken directly from the
with regional partners on other major Riverside County Transportation Commission
transportation issues (e.g. investigating the
website,13 and summarizes the status of plans to: 1)
potential for converting some of the region's excess evaluate the potential of future commuter rail
rail capacity to a local light rail system; adopting
service to the Coachella Valley, and 2) bring
policies to maximize advantages to the region of additional Amtrak intercity rail service to the
autonomous vehicles;etc.) Coachella Valley from Los Angeles(see full text in
Note 2 following this table).
'3 http://rctcdev.info/rail/2005-commuter-rail-feasibility-study; http://rctcdev.info/rail/coachella-valley-
rail-service, accessed Nov. 1, 2017.
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Action Item
Task Existing Initiatives/Programs
D.1 Monitor the progress of regional plans and
make periodic recommendations on haw to
respond to progress,changes of plans, etc., in
context of the EDSP.
D.2 Provide input as part of regional planning for
transportation,with a focus on how best to
align with EDSP strategic objectives.
IV. WORKFORCE DEVELOPMENT
CVEP is involved in workforce development through
A. Assess Workforce Development Needs and Align the Coachella Valley Regional Plan for College and
with Business Attraction Efforts. Coordinate with Career Readiness a partnership between industry,
CVEP, local industry, and workforce training economic development,and education
providers to establish and maintain alignment of professionals, along with students throughout the
industry needs and the community/regional Coachella Valley, with the overall goal of aligning
workforce programs and students with economic
opportunities in the Valley.
A.1 Conduct interviews or establish other system
for obtaining input from industry
representatives,to identify gaps in skills that
they are facing. _
A.2 Meet with CVEP and training providers to
assess and document their perceptions of
alignment of industry needs with training
programs and facilities that are available.
A.3 Through interviews or other input from
industry representative and workforce training
providers, inventory issues directly or indirectly
related to attracting and accommodating the
required workforce.
A.4 Actively integrate industry attraction efforts
with local education/workforce development
systems. (See Action Item !V.A.)
The City of Palm Desert, through creation of the
University Neighborhood Specific Pion, provides
B. Leverage Presence of Higher Educational both direct and indirect support to C5US6's
Institutions.Actively collaborate with COD,CSUSB,
UCR on future academic and expansion plans expansion plans.This Plan can be further
(potentially including support on issues such as coordinated through the Economic Development
housing,transportation, etc.). Strategic Plan.The City is currently in the process of
developing an MOU with CSUSB to actively support
the expansion plan.
B.1 Compile expansion plans of institutions, assess
how these relate to one another and how they
potentially support EDSP objectives.
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Action Item
Task Existing Initiatives/Programs
B.2 Investigate what direct support is needed by
these institutions, and what options are
available to the City to provide these kinds of
support.
B.3 Investigate what types of indirect support(e.g.
Specific Plan coordination)would help the
institutions implement their expansion plans.
B.4 Advocate for increased funding for local
colleges.
A number of facilities and organizations provide
support for entrepreneurs in the Coachella Valley,
including the following:
• The CVEP Business Services Center assists
start-up and established operations.
• The Palm Springs iHub incubator provides
programs, physical space, and incentives to
start-up businesses focused on clean
technology and renewable energy.
• The Accelerator Campus, located within the
Foreign Trade Zone at the Palm Springs
International Airport, provides companies
C. Entrepreneurial Development. Facilitate with access to the business support network
entrepreneurial attraction/development of the iHub after they begin production and
earn revenues.
• The Coachella Valley Women's Business
Center(CVWBC) is a cooperative program
between the Inland Empire Center for
Entrepreneurship(IECE)and the US Small
Business Administration (SBA)
• SCORE is a nonprofit organization dedicated
to helping small businesses startup, growth
and achieve their goals through education
and mentorship.
See full text relating to these programs in Note 3
following this table.
C.1 Establish coordination protocols between the
City and existing programs in the region.
C.2 Investigate the potential for Palm Desert to
become the second Coachella Valley location
for the Accelerator Campus currently located in
Palm Springs.
C.3 Promote development of co-working facilities
in Palm Desert.
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Action Item
Task Existing initiatives/Programs
V. QUALITY OF LIFE
Existing projects relevant to this action item include
Desert Willow, San Pablo, El Paseo, Highway 111,
A. Placemaking.Tie actions on behalf of targeted and the University/Cook area. Relevant events
development projects and special events to include El Paseo Fashion Week, Palm Desert Food &
benefits they offer to the concept of Wine, STREET and First Weekend. See Task LA for
"placemaking." discussion of regional events that could potentially
be leveraged within the framework of this action
item.
A.1 Establish criteria related to placemaking and
incorporate into processes by which priorities
for promoting and otherwise encouraging
specific development projects are determined.
A.2 Specifically incorporate placemaking into
support for,and planning/coordination efforts
related to,special events.
B. Millennial Attraction. Encourage development of
new businesses/events attractive to young adults
(i.e., Millennia's)
B.1 Establish a system for investigating options and
use that system to develop a list of
businesses/events considered to be attractive
to young adults.
8.2 Review priority sites/areas and other locations
in the City,and evaluate and prioritize their
suitability as locations for businesses/events
attractive to young adults.
B.3 Establish policies aligned with promoting the
development of businesses/events attractive to
young adults.
C. Facilitate Expanded Housing Options. Use City's
ordinances, policies, and other resources to expand
opportunities for development of housing that is
affordable to a range of income levels and that
expands the range of housing prices generally in
the Palm Desert market.
C.1 Review City development ordinances/policies
to identify alternative strategies by which
ordinances could be used,as given or modified,
to encourage development of housing that
expands market choices.
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Action Item
Task Existing Initiatives/Programs
C.2 Review City priority sites/areas and other
locations in the City,and evaluate and prioritize
their potential as locations for encouraging the
development of appropriate market-expanding
housing.
The Coachella Valley Housing Coalition(CVHC) is
a nonprofit affordable housing development
C.3 Investigate options outside of the City's organization involved in constructing and operating
purview for promoting the development of affordable housing, in combination with relevant
affordable housing,which might involve resident services programs.'This type of housing
coordinating with other entities. typically involves some form of public subsidy,and
does not directly address market-related challenges
of affordability.
Note T. Full text for Existing Initiatives/Programs,for I.A.4
The Palm Desert Area Chamber of Commerce (PDACC) promotes the region internally through maintaining
information about the local business community and through various networking events(e.g.,the Profit
Connection Leads lunches).Other region wide events that could attract outsiders as well as locals include the
following(and the Chamber also helps coordinate a number of city-specific events):
• Annual Golf Tournament
• Palm Desert Golf Cart Parade
• Live, Love and Play Business Showcase
The Greater Palm Springs Convention and Visitors Bureau(CVB)maintains information that focuses on providing
visitors with insights into certain unique characteristics and events related to tourism in the region (e.g. Modernism
Week),along with facts to enhance visitors'trips to the region,for the region and city by city,and much of this
information is also useful to residents. Important CVB initiatives include:
• Preparation of the Destination Development Plan
• Sales&tourism missions
• Participation in Visit CA(including international marketing component)
The Coachella Valley Economic Partnership(CVEP)currently hosts a major informational/marketing event,the
annual Greater Palm Springs Economic Summit.Other programs that help promote the region primarily to an
internal audience include the Renewable Energy Roundtable and forums for small business and lenders/investors.
CVEP also maintains information about the region on its website and tools, specifically GIS,to help interested
parties access and make use of data.
The City of Palm Desert maintains basic information about the community plus a promotional video(Economic
Development webpage)that summarizes key attributes of the community including a number of its unique
qualities, and emphasizes the City's strategic approach to business friendliness.
The City of Palm Desert is a major sponsor of Fashion Week El Paseo—the largest consumer fashion show on the
West Coast, held at The Gardens on El Paseo in Palm Desert.The City of Palm Desert also sponsors the Palm Desert
14 http://www.cvhc.org
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Food&Wine Festival held at the same time as Fashion Week at The Gardens on El Paseo.
Note 2. Full text for Existing Initiatives/Programs,For I11.❑
The following material is taken directly from the Riverside County Transportation Commission website,and
summarizes the status of plans to: 1)evaluate the potential of future commuter rail service to the Coachella Valley,
and 2)bring additional Amtrak intercity rail service to the Coachella Valley from Los Angeles.
Commuter rail.The [2005] Rail Feasibility Study evaluated the potential of future commuter and intra-county rail
lines in Riverside County[included in the study was a route from Indio to Riverside and points west]and
recommended further evaluation of[only] routes to San Jacinto/Hemet and Murrieta/Temecula. [Subsequent
studies have been conducted involving these routes.] Feasibility was determined by examining operations,
ridership,and costs, including the physical,operational, and financial feasibility of each major capital investment
and its operating subsidy projections.
Additional Amtrak service. In July 2016,the Riverside County Transportation Commission(ROTC), in coordination
with Caltrans and the Federal Railroad Administration(FRA),prepared and completed the Coachella Valley—San
Gorgonio Pass Rail Corridor Service Study Alternatives Analysis Final Report,which evaluated a reasonable range of
alternatives for a new intercity rail service between Los Angeles and Indio.Work is underway to prepare a Program
Environmental Impact Statement(EIS)/Program Environmental Impact Report(EIR)document consistent with
federal and state requirements.. . .After completing the Draft EIS/EIR,a Service Development Plan will be
prepared to conceptualize how the service would operate and what infrastructure improvements would be needed
to accommodate the new intercity passenger rail service.
Note 3.Full text for Existing initiatives/Programs,For 1V.0
A number of facilities and organizations provide support for entrepreneurs in the Coachella Valley, including the
following:
The CVEP Business Services Center assists start-up and established operations through the following service
' categories:
• Loan packaging
• Equity investment preparation
• Business plan development
• Marketing plan development
• Geographic information systems(GIS),combining economic and demographic data with geographical data.
• Free monthly business development discussion series.
The Palm Springs iHub incubator provides programs,physical space, and incentives to start-up businesses focused
on clean technology and renewable energy. Businesses located there are engaged in solar energy,wind power,
geothermal,and smart grid technologies,as well as green building materials and techniques, biofuels/biomaterials,
water filtration,and conservation and storage technologies.iHub-supported businesses can operate at other
locations besides the Palm Springs iHub, including the Palm Springs Accelerator Campus,or off-site.
The Accelerator Campus, located within the Foreign Trade Zone at the Palm Springs International Airport,provides
companies with access to the business support network of the iHub after they begin production and earn revenues.
The Campus now also includes the Health&Medical Innovation Center,for firms focused on medical technology as
well as new concepts in the delivery of healthcare services.A future iHub is planned for the eastern Coachella
Valley with an emphasis on advanced manufacturing.
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The Coachella Valley Women's Business Center(CVWBC) is a cooperative program between the Inland Empire
Center for Entrepreneurship(IECE)and the US Small Business Administration(SBA).CVWBC's It's Your Time
program focuses on training,counseling, mentoring and supporting female entrepreneurs.
SCORE is a nonprofit organization dedicated to helping small businesses startup,growth and achieve their goals
through education and mentorship.SCORE's regional offices for the Coachella Valley are located in Palm Desert.
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Implementation Timeframes
Table 16 shows suggested timeframes for starting and completing each Sub-Action Item.
TABLE 16.IMPLEMENTATION TIMEFRAMES
Strategy Group
Action Item Start Completion
Sub-Action Item Date Date Comments
I. MARKETING AND OUTREACH
A. Core Marketing Framework. Establish a
promotional framework for Palm Desert,focused
on the concept of Placemaking, intended to
position Palm Desert as full-time/full-service
community.
A.1 Promote development/placemaking concepts to
Palm Desert residents, focusing on various
aspects of why it is important for the community.Beginning of
to evolve. Year 2 Ongoing
A.2 Design City's promotional system to include,at a
minimum,the following topics:existing and
planned infrastructure capacity, opportunity
sites and development focus areas (see Action
Item I.E.),City incentives, and educational
resources.Where practical, make use of GIS Beginning of Middle of
"story maps"within the system. Year 1 Year 1
A.3 Prepare operational plan for implementing
promotional system,considering budget and
staffing, coordination with other entities, Middle of Beginning
priorities,and similar considerations. Year 1 of Year 2
A.4 Collaborate with CVB and other regional entities
as appropriate on the creation of marketing
initiatives to increase attractiveness of Coachella
Valley as a place to live and work year-round
(especially for targeted populations such as Beginning of
Millennials/young professionals). Year 1 Ongoing
B. Business Retention/Expansion.To demonstrate
support for the local business community,
establish a Retention/Expansion program.
B.1 Review best practices for Retention/Expansion
programs in light of overall economic
development framework,evaluate alternative Middle of Beginning
approaches, and prepare recommendations. Year 1 of Year 2
B.2 Prepare operational plan for implementing
program,considering budget and staffing, Middle of Beginning
coordination with other economic development Year 1 of Year 2
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Action Item Start Completion
Sub-Action Item Date Date Comments
functions and strategic priorities, and similar
considerations.
C. Business Attraction. Establish an industry-
specific Business Attraction function appropriate
for the City.
C.1 Review options by which Palm Desert could
effectively participate in focused, industry-
specific business attraction activities, in the
context of the City's and other regional entities'
other promotion/marketing efforts and in
recognition of typical/best economic
development practices, and prepare Middle of Beginning
recommendations. Year 1 of Year 2
C.2 Prepare operational plan for implementing the
Business Attraction program,considering
budget and(if required)staffing,coordination
with other economic development functions
and strategic priorities, and similar Beginning of Middle of
considerations. Year 2 Year 2
D. Visitor Marketing.Continue the City's role in
promoting Palm Desert as a visitor destination. Ongoing,existing program
D.1 Continue coordination with hospitality and
tourism-retail sector spokespersons to confirm
or refine the City's role,which would include
holding discussions with representatives of
organizations such as CVB,trade groups,and
business districts.Also investigate specific
measures by which the City can best leverage Beginning of Middle of
marketing efforts undertaken by CVB. Year 2 Year 2
D.2 Hold discussions with representatives of cultural
organizations such as The Living Desert and
McCallum Theatre,to gain their perspective on
how the City can support visitor marketing
efforts, broadly and/or in terms of specific Beginning of Middle of
facilities. Year 2 Year 2
E. Marketing of Key Development Sites.Continue
to actively market City-owned development
opportunity sites(as well as privately-owned
underperforming properties),focusing on
priority/targeted land uses identified through
this planning process and other City initiatives. Ongoing,existing program
El As part of ongoing efforts to market and Beginning of Middle of
otherwise facilitate the Year 2 Year 2
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Action Item Start Completion
Sub-Action Item Date Date Comments
development/redevelopment of suitable
properties, incorporate priority/targeted land
uses identified through this(EDSP) planning
process.
E.2 Continue efforts to attract additional hotel,
recreational,and entertainment uses,
particularly those that complement existing uses
of these types,and specifically recognizing the
need for multiple hotels within the El Paseo Beginning of
area. Year 2 Ongoing
E.3 Support marketing and other efforts related to
building out the remaining development Beginning of
capacity at Desert Willow. Year 2 As needed
E.4 Periodically update feasibility analyses related
to the PKF (hotel)study and other relevant
studies. (As needed) Ongoing
F. Commercial Tenant Recruitment. Collaborate
with commercial property owners to recruit
targeted tenants. Ongoing,existing program
F.1 Focus on retail/restaurant/entertainment Middle of
tenants. Year 1 Ongoing
F.2 Focus on employers in other(other than tourist- Middle of
related) industry sectors. Year 1 Ongoing
F.3 Investigate options for improving freeway(1-10)
signage to attract additional visitors to Palm
Desert's retail/restaurant/entertainment Beginning of Middle of
businesses. Year 2 Year 2
II. LAND USE/DEVELOPMENT/REVITALIZATION
A. Westfield Mall. Encourage/facilitate market
repositioning of Westfield mall (consider
including mixed-use, higher density
development on portions of site), while also
considering the potential for Palm Desert to
maintain its strength as a focus of regional Timing to be determined based on
shopping. direction of mall's ownership
A.1 Identify the essential coordinating elements for
aligning the EDSP plus the overall economic
development program with plans and policies
related to Westfield Mall.
A.2 The EDSP should anticipate that, if major
tenants vacate the mall,the City will form a
partnership with mall owners to develop a
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Action Item Start Completion
Sub-Action Item Date Date Comments
master plan to redesign/repurpose all or
portions of the site.
A.3 Draft any recommended special coordinating
actions for Westfield Mall(from preceding Sub-
Action Items)and submit for review and
potential approval.
B. El Paseo District. Facilitate long-term market
strengthening of El Paseo District.
B.1 Identify the essential coordinating elements for
aligning the EDSP plus the overall economic
development program with plans and policies Beginning of Middle of
related to the El Paseo district. Year 1 Year 1
8.2 Draft any recommended special coordinating
actions for the El Paseo district(from preceding
task)and submit for review and potential Middle of Beginning
approval. Year 1 of Year 2
C. Highway 111 Corridor/San Pablo. Facilitate
revitalization of Highway 111 Corridor.
C.1 Identify the essential coordinating elements for
aligning the EDSP plus the overall economic
development program with plans and policies Beginning of Middle of
related to the Highway 111 corridor. Year 1 _Year 1
C.2 Draft any recommended special coordinating
actions for the 111 corridor(from preceding
task) and submit for review and potential Middle of Beginning
approval. Year 1 of Year 2
D. CSUSB Area Development Coordination.
Facilitate optimization of development
opportunities in the Vicinity of the CSUSB
campus. Ongoing,existing program
D.1 Establish a partnership with CSUSB to maximize
development potential,suitability/compatibility,
and timing, for vacant land areas surrounding
the master-planned property(the master-
planned property includes developed and as yet
undeveloped portions of the campus)shown in
the Campus Master plan 2017 for CSU, Palm Middle of Middle of
Desert Campus. Year 1 Year 2
D.2 identify the essential coordinating elements for
aligning the EDSP plus the overall economic
development program with plans and policies Beginning of Middle of
related to the University/Cook area,and Year 2 Year 3
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Action Item Start Completion
Sub-Action Item Date Date Comments
describe the rationale for recommending any
coordinating steps.
D.3 Draft any recommended special coordinating
actions for the University/Cook area(from
preceding task) and submit for review and Beginning of Middle of
potential approval. Year 2 Year 2
E. Other Key Districts/Neighborhoods. Implement
development/revitalization initiatives for other
key districts/neighborhoods(not mentioned
above), including Desert Willow. Ongoing,existing program
E.1 Identify the essential coordinating elements for
aligning the EDSP plus the overall economic
development program with plans and policies
related to the other key
districts/neighborhoods,and describe the
rationale for recommending any coordinating Beginning of Beginning
steps. Year 1 of Year 2
E.2 Draft any recommended special coordinating
actions for other key districts/neighborhoods
(from preceding task) and submit for review and Beginning of Middle of
potential approval. Year 2 Year 2
lll. INFRASTRUCTURE
A. City Infrastructure Priorities.Align City
placemaking and other development plans and
strategies with key City-designated
infrastructure elements, existing and
particularly planned improvements, as
expressed in the City's Capital Improvement
Plans. Ongoing,existing program
A.1 Coordinate San Pablo Street Improvements,
such as those identified in the Proposed Five-
Year Capital improvement Program (Fiscal Year
2017-2018 to 2021-2022)with the vision in the
2016 Palm Desert General Plan of a revitalized Beginning of
San Pablo Corridor. Year 2 As needed
A.2 Establish an inter-departmental committee to
annually review the City's infrastructure
priorities based on the potential economic
development benefits of potential capital Beginning of
improvements Year 2 As needed
A.3 Establish a framework through which
infrastructure development and planning is Beginning of Middle of
coordinated with plans for property Year 2 Year 2
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Strategy Group
Action Item Start Completion
Sub-Action Item Date Date Comments
development/revitalization, where economic
development interests apply.
B. Coordination with Regional Broadband
Initiatives.Actively support regional and any
other efforts to expand broadband
development, and ensure that City's policies
facilitate links to regional infrastructure.
B.1 Document regional efforts,current and planned,
to secure and expand broadband services, Beginning of
assess level of effort,timing,etc. Year 1 Ongoing
B.2 Explore City options,if any, beyond support of
any regional efforts, and recommend options for Middle of
consideration,with supporting rationale. Year 1 Ongoing
C. Airport/Air Service.Coordinate with regional
partners to expand local air service and
otherwise maximize the potential for the Palm
Springs International Airport to support
economic development. Lower-priority strategy;timing TBD
C.1 Explore and identify options currently under
consideration by Palm Springs and elsewhere in
region,for expanding air service or any other
function that would serve Palm Desert of other
regional economic development interests as
outlined in the EDSP.
C.2 Explore and identify any new,additional options
for expanding the Airport's role in economic
development,and if options are found, identify
potential partners and other strategic matters
that would need to be considered.
D. Other Regional Transportation Issues.
Coordinate with regional partners on other
major transportation issues (e.g. investigating
the potential for converting some of the region's
excess rail capacity to a local light rail system;
adopting policies to maximize advantages to the
region of autonomous vehicles;etc.). Lower-priority strategy;timing TBD
D.1 Monitor the progress of regional plans and
make periodic recommendations on how to
respond to progress, changes of plans,etc., in
context of the EDSP.
D.2 Provide input as part of regional planning for
transportation,with a focus on how best to align
with EDSP strategic objectives.Also,monitor
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Action Item Start Completion
Sub-Action Item Date Date Comments
"big picture"trends,such as autonomous
vehicles,and see that these kinds of trends are
considered as part of plan development.
IV. WORKFORCE DEVELOPMENT
A. Assess Workforce Development Needs and
Align with Business Attraction Efforts.
Coordinate with CVEP, local industry, and
workforce training providers to establish and
maintain alignment of industry needs and the
community/regional workforce. Ongoing,existing program
A.1 Conduct interviews or establish other system for
obtaining input from industry representatives,
to identify gaps in skills that they are facing,
through difficulty in recruiting or finding people Beginning of
whose skills are not fully matching their needs. Year 2 Ongoing
A.2 Meet with CVEP and training providers to assess
and document their perceptions of alignment of
industry needs with training programs and Middle of Beginning
facilities that are available. Year 2 of Year 3
A.3 Through interviews or other input from industry
representative and workforce training providers,
inventory issues directly or indirectly related to
attracting and accommodating the required
workforce, including barriers to recruitment and
the capacity of the community to support the
range of workers required to sustain economic Beginning of Middle of
growth. Year 2 Year 2
A.4 Actively integrate industry attraction efforts
with local education/workforce development Middle of
_ systems. (See Action Item IV.A). Year 2 Ongoing
B. Leverage Presence of Higher Educational
Institutions.Actively collaborate with COD,
CSUSB, UCR on future academic and expansion
plans(potentially including support on issues
such as housing,transportation,etc.). Ongoing,existing program
B.1 Compile expansion plans of institutions, assess
how these relate to one another and how they Beginning of Middle of
potentially support EDSP objectives. Year 2 Year 2
B.2 Investigate what direct support is needed by
these institutions, and what options are
available to the City to provide these kinds of
support,which might include coordinating with Middle of Beginning
other entities in the region. Year 2 of Year 3
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Action item Start Completion
Sub-Action Item Date Date Comments
B.3 Investigate what types of indirect support (e.g.
Specific Plan coordination)would help the
institutions implement their expansion plans,
and what options are available to the City to Middle of Beginning
provide these kinds of support. Year 2 of Year 3
•
B.4 Advocate for increased funding for local Beginning of
colleges. Year 1 Ongoing
C. Entrepreneurial Development. Facilitate
entrepreneurial attraction/development.
C.1 Establish coordination protocols between the Beginning of Middle of
City and existing programs in the region. Year 1 Year
C.2 Investigate the potential for Palm Desert to
become the second Coachella Valley location for
the Accelerator Campus currently located in Beginning of Beginning
Palm Springs. Year 1 of Year 2
C.3 Promote development of co-working facilities in
Palm Desert,which can bridge the gap for
entrepreneurs between formal office space and Beginning of
working from home. Year 2 Ongoing
V. QUALITY OF LIFE
A. Placemaking.Tie actions on behalf of targeted
development projects and special events to
benefits they offer to the concept of
"placemaking." Ongoing,existing program
A.1 Establish criteria related to placemaking and
incorporate into processes by which priorities
for promoting and otherwise encouraging Beginning of Middle of
specific development projects are determined. Year 2 Year 2
A.2 Specifically incorporate placemaking into
support for,and planning/coordination efforts Beginning of
related to, special events. Year 2 Ongoing
B. Millennial Attraction. Encourage development
of new businesses/events attractive to young
adults (i.e., Millennials). Lower-priority strategy;timing TBD
B.1 Establish a system for investigating options and
use that system,which may include creative
outreach efforts,to develop a list of
businesses/events considered to be attractive to
young adults,and which could include existing
establishments or business types as well as
those not currently present in Palm Desert.
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The Natelson Dale Group,Inc.
68
Strategy Group
Action Item Start Completion
Sub-Action Item Date Date Comments
B.2 Review priority sites/areas and other locations
in the City,and evaluate and prioritize their
suitability as locations for businesses/events
attractive to young adults.
B.3 Establish policies aligned with promoting the
development of businesses/events attractive to
young adults, including incentives or other
methods for encouraging, recommended
practices for such businesses(e.g. hours of
operation),adjustments to codes,and similar
considerations.
C. Facilitate Expanded Housing Options. Use City's
ordinances, policies, and other resources to
expand ❑pportunities for development of
housing that is affordable to a range of income
levels. Lower-priority strategy;timing TBD
C.1 Review City development ordinances/policies to
identify alternative strategies by which
ordinances could be used,as given(e.g.,form
based code)or modified,to encourage
development of housing that expands market
choices.
C.2 Review City priority sites/areas and other
locations in the City,and evaluate and prioritize
their potential as locations for encouraging the
development of appropriate market-expanding
housing.
C.3 Investigate options outside of the City's purview
for promoting the development of affordable
housing,which might involve coordinating with
other entities.
Palm Desert Economic Development Strategic Plan
The Natelson ❑ale Group, Inc.
69